Soybeans Close Lower Tuesday as South American Harvests Accelerate
Soybean futures declined on the Chicago Board of Trade Tuesday, while corn ended the session higher.
Bean futures declined on expectations that overseas buyers will turn to South America and away from the U.S., as they tend to do this time of year, to meet supply needs. The price closed below the psychological $10-a-bushel mark.
The Department of Agriculture last week raised its projection for Brazilian soybean output to 108 million metric tons from 104 million. The USDA also raised its corn production projection for the country.
“The Brazilian bean harvest is now over half completed, and the Argentine harvest is just about ready to start,” said Tomm Pfitzenmaier, the president of Summit Commodity Brokerage in Des Moines, Iowa. “The large yields seen in the U.S. last year and in Brazil this winter now have some in the trade beginning to push up their yield estimate for Argentina, as well.”
Soybean futures for May delivery fell 7¢ to $9.99 a bushel on the Chicago Board of Trade. Soy meal futures lost $3.80 to $327.10 a short ton, and soy oil rose 0.17¢ to 32.29¢ a pound.
Corn futures rose 1¼¢ to $3.62¼ a bushel in Chicago.
Wheat futures fell ½¢ to $4.30 a bushel, while Kansas City wheat declined ½¢ to $4.42¼ a bushel.