Soybeans fall for fourth straight session, near 4-1/2 month low
Category: Oilseeds
(Reuters) – U.S. new-crop soybeans fell for the fourth straight session on Wednesday as prices lingered near a 4-1/2 month low as the oilseed continued to come under pressure from the U.S. Department of Agriculture’s forecast for higher-than-expected production.
FUNDAMENTALS
* Chicago Board Of Trade November soybeans fell 0.22 percent to $11.45 a bushel, having slid 0.84 percent on Tuesday. The contract hit a $11.32 a bushel on Tuesday, the lowest since Febuary 19.
* Front-month corn fell 0.12 percent to $4.22-1/4 a bushel, having slid 0.35 percent in the previous session.
* September wheat rose 0.1 percent to $5.73 a bushel, having closed down 0.87 percent on Tuesday.
* The USDA on Monday estimated U.S. 2014 soybean plantings at a record 84.8 million acres, topping a range of expectations. USDA’s estimates of June 1 soy and corn stocks also came in above average trade estimates.
* USDA’s weekly crop progress report showed U.S. corn condition ratings improved and soybean ratings were the highest in 20 years.
* Weather in the Midwest looks promising, with no sign of stressful heat as the corn crop nears pollination, a crucial growth phase that typically takes place in July. But weather jitters may help underpin prices until the crop is farther along.
* Run-off from heavy storms this week forced the closure of 11 locks on the upper Mississippi River, a key artery for shipping grain to the U.S. Gulf Coast.
MARKET NEWS
* The Australian dollar hovered near an eight-month peak early on Wednesday, having been swept higher by a short squeeze while an upbeat manufacturing survey helped power sterling to levels not seen in nearly six years.
* Crude oil prices dipped slightly on Tuesday on easing concerns of supply disruptions due to the conflicts in Iraq and Ukraine, whilst gaining some support from upbeat manufacturing data in China, the world’s second-biggest oil consumer.
* The Dow and the S&P 500 closed at record highs on Tuesday as manufacturing activity picked up in the United States and Asia and increased optimism about the global economy’s health.
