copyright Sign up for our Market Email Alerts!"/> Trade sends soybeans lower on rainfall
Home / Markets / Markets Analysis / Soybeans market / Trade sends soybeans lower on rainfall

Trade sends soybeans lower on rainfall

09/23/2013 @ 2:51pm

Soybean futures Monday fell to the lowest closing price in more than five weeks as rainfall last week helped stabilize yields ahead of the harvest in the U.S., the world's second-biggest exporter of the oilseed behind Brazil. Corn and wheat futures gained.

As much as six times the normal amount of precipitation fell in the past seven days in parts of Iowa and Illinois, the biggest U.S. growers of soybeans and corn, according to the National Weather Service. That may stabilize yields that had been declining because of dry weather from early August through mid-September, Rich Feltes, director of research at brokerage RJ O'Brien in Chicago, said in a report Monday.

Collection of soybeans that take less time to mature and crops in southern regions of the U.S. has started, with yields coming in better than expected, especially in parts of Ohio and Indiana, Mr. Feltes said. Soybean futures have dropped three straight sessions.

"We're going through the harvest, so maybe there's some delayed harvest pressure," said Jon Marcus, president at Lakefront Futures & Options LLC in Chicago. "A lot of it is technical. Under $13.30 a bushel there's been no support."

Chicago Board of Trade soybeans for November delivery fell 7 1/2 cents, or 0.6%, to $13.07 3/4 a bushel, the lowest closing price since Aug. 16.

Corn prices rebounded after touching a three-year low Monday. December futures at the CBOT rose 2 1/4 cents, or 0.5%, to $4.53 1/4 a bushel. Prices earlier fell to $4.48 1/4 a bushel, marking the lowest intraday price for a front-month contract since September 2010.

Wheat futures gained on signs of improved demand for U.S. inventories from overseas buyers. Exporters shipped 11.1 million metric tons from the start of the marketing year on June 1 through Sept. 12, up 36% from the same period a year earlier, according to the U.S. Department of Agriculture. Importers have committed to purchase 17.1 million tons, up 38% from a year earlier, the government said Thursday.

CBOT December wheat added 7 1/4 cents, or 1.1%, to $6.53 1/2 a bushel.

"Our weekly export sales numbers have been decent," said Larry Glenn, an analyst at Frontier Ag in Quinter, Kan. "We haven't been getting the big sales, but they're coming to us to buy quality wheat. That's what's holding the support."


Write to Tony C. Dreibus at tony.dreibus@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
September 23, 2013 15:16 ET (19:16 GMT)
DJ Soybeans Slip to Lowest Close in Five Weeks; Corn, Wheat Advance -- Update->copyright


Sign up for our Market Email Alerts!

 

CancelPost Comment
MORE FROM DOW JONES NEWSWIRES more +

More Pig Losses Seen, Smithfield Says By: 05/14/2014 @ 7:55am The swine industry is struggling to contain a deadly virus that's sweeping U.S. hog farms…

Senators Turn Up Heat on Railroad Companies By: 05/13/2014 @ 11:39am Four Midwestern U.S. senators add their voices to a growing chorus of farmers, ethanol producers…

Summary of Friday's WASDE Report By: 05/09/2014 @ 2:53pm The following table is provided as a service to Wall Street Journal subscribers in conjunction…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
The Future of Livestock Production
Agriculture.com

FREE MEMBERSHIP!

CLOSE [X]