Chicago | Reuters — U.S. soybean futures fell on Monday on favourable crop weather in South America, forecasts for a record-smashing Brazilian harvest and continued concerns about the incoming Trump administration’s hawkish approach to trade with top soy importer China.
Corn futures were narrowly mixed on South American weather and light spillover pressure from soybeans, while wheat was mostly lower amid ample global supplies.
A firmer U.S. dollar anchored grain markets in general as a stronger greenback makes dollar-denominated commodities costlier for those holding other currencies.
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Chicago Board of Trade January soybeans ended down 4-1/4 cents at $9.85-1/4 a bushel and March corn was down 1/2 cent at $4.32-1/2 a bushel. CBOT March wheat fell to a three-month low but ended down 3/4 cent at $5.47-1/4 a bushel.
Soybean futures were pressured by abundant U.S. supplies and by updated Brazilian crop harvest forecasts suggesting the upcoming harvest there will shatter previous records.
Brazil’s Agroconsult on Thursday raised its harvest outlook to 172.2 million metric tons, nearly 10 million tons above the 2022/23 season record. Agribusiness consultancies Celeres and StoneX also raised their crop estimates to fresh records on Monday.
“There’s no shortage of beans in the U.S. or in South America, with a crop coming at us,” said Don Roose, president of U.S. Commodities.
Traders shrugged off another U.S. Department of Agriculture announcement of soybean sales to China on Monday, the latest in a string of purchases by the top importer. The recent deals were seen as routine U.S. soy purchases ahead of Brazil’s peak export season.
U.S. wheat remained under pressure as competition from cheap Argentine and Black Sea wheat outweighed a decision by Russia to cut its 2025 wheat export quota by two-thirds and raise wheat export duties. Most deferred-month contracts posted fresh lows on Monday.
