Soy price up to 7-month top as Brazil crop estimates shrink
CHICAGO: U.S. soybean futures rose to a seven-month high Tuesday on fears that a smaller-than-expected Brazilian harvest will tighten global soy stocks and steer export demand to U.S. supplies, analysts said.
Corn futures followed soybeans higher and wheat firmed on bargain-buying after a 3% dip a day earlier. The grains also drew support from geopolitical risks to supplies from Black Sea exporters Russia and Ukraine.
Chicago Board of Trade March soybean futures settled up 38 cents at $15.28-1/2 per bushel after rising to $15.39, a contract top and the highest on a continuous chart of the most-active contract since June 11. CBOT soymeal futures also set contract highs.
The soybean market got a boost after commodity brokerage StoneX lowered its estimate of Brazil's soy harvest to 126.5 million tonnes, from 134 million last month.
"If today's number verifies, we could see a dramatic increase in demand for U.S. soybeans this summer as Brazilian exportable supplies get tight," Arlan Suderman, StoneX chief commodities economist, wrote in a client note.
A day earlier, consultancies AgRural and AgResource cut their Brazilian soy crop estimates to 128.5 million and 125 million tonnes, respectively, citing poor weather.
The Lunar New Year holiday in China and other Asian countries was curbing international oilseed demand, traders said. Nonetheless, the U.S. Department of Agriculture confirmed private sales of 132,000 tonnes of U.S. soybeans to China along with 110,000 tonnes of U.S. corn to Mexico.
CBOT March corn futures settled up 8-3/4 cents at $6.34-3/4 a bushel and March wheat rose 7-3/4 cents to finish at $7.69 a bushel.
Traders continue to monitor political tension between Russia and Ukraine, both major exporters of wheat, while Ukraine is a key global supplier of corn as well. Russian President Vladimir Putin accused the West on Tuesday of ignoring Russia's security concerns and deliberately creating a scenario designed to lure it into war.
Uncertainty about Ukraine helped support CBOT wheat futures along with technical buying and short-covering one day after the benchmark CBOT March contract tumbled 3%.
"We overdid it yesterday. Technically the (wheat) market broke down," said Don Roose, president of Iowa-based U.S. Commodities.
Rallies were limited by forecasts for a winter storm to bring much-needed moisture to the U.S. Plains and Midwest winter wheat belt on Wednesday and Thursday, potentially bolstering production prospects.= Reuters
https://www.thestar.com.my/business/business-news/2022/02/02/soy-price-up-to-7-month-top-as-brazil-crop-estimates-shrink
Singapore Investment
-
-
-
-
Cory Diary : Portfolio Updates14 hours ago
-
-
-
-
I have Achieved Lean FIRE!!15 hours ago
-
-
-
-
-
-
Best Fixed Deposit Rates in July 202521 hours ago
-
Bearing it all alone21 hours ago
-
-
-
-
-
-
-
-
-
The Art of Being Patient2 days ago
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Portfolio Summary for June 20254 days ago
-
-
-
Portfolio (June 30, 2025)5 days ago
-
Portfolio (June 30, 2025)5 days ago
-
-
-
-
-
Month of June 20255 days ago
-
June 2025 Updates5 days ago
-
-
-
-
Batisht crazy!1 week ago
-
-
Will SORA crash to 1 per cent?1 week ago
-
-
Hello world!1 week ago
-
Cut back some exposure1 week ago
-
-
-
Buying an overseas home for retirement2 weeks ago
-
-
8 tips for house moving2 weeks ago
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
May 2025 Portfolio4 weeks ago
-
-
-
Thakral - Gem life deal finally coming?5 weeks ago
-
-
-
-
-
Clarity1 month ago
-
The Trump Tariffs1 month ago
-
Selling HRnet and Fiverr1 month ago
-
-
-
-
Ignore the noise and be calm2 months ago
-
-
-
-
FAQ on Quantitative Investing Part 22 months ago
-
-
-
-
Crossing the 300k Mark [in a volatile period]2 months ago
-
-
-
-
-
-
-
-
ETF vs Mutual Fund: Which is Better?5 months ago
-
-
-
-
-
Arigato Everyone! A Decade of Blogging!6 months ago
-
Top 10 Highlights of 20246 months ago
-
-
-
Union Square Residences8 months ago
-
-
-
STI ETF9 months ago
-
-
-
Unibet Casino Bonus Codes 202410 months ago
-
-
-
-
The Stigma against Early Retirement (FIRE)11 months ago
-
Monthly IBKR Update – June 202411 months ago
-
-
-
-
-
-
-
-
-
Feb 2024 Expenditure1 year ago
-
-
-
-
-
-
-
Monthly Summary of November 20231 year ago
-
Migration of website1 year ago
-
-
-
-
-
-
Hello SP Group, I'm Back!2 years ago
-
-
-
A New Light2 years ago
-
-
-
-
-
2022 Thoughts, Hello 2023!2 years ago
-
Series of Defaults for Maple Finance2 years ago
-
Takeaways from “Sea Change”2 years ago
-
Greed is Coming Back2 years ago
-
-
-
-
-
-
-
-
What is Overemployment3 years ago
-
Terra Hill Condo (former Flynn Park)3 years ago
-
Alibaba VS Tencent: The Battle Royale3 years ago
-
-
-
-
-
-
-
-
-
-
-
-
-