Soybeans slip as traders prepare for bearish U.S. production report

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Reuters

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CHICAGO– Chicago soybean futures dropped on Monday, as traders jockeyed for position on what is forming up to be a big U.S. harvest and ahead of what is anticipated to be a bearish U.S. production projection today.

The benchmark Chicago Board of Trade November soybean futures agreement struck technical resistance at its10- day moving typical over night. While financiers waited for the U.S. Agriculture Department’s international supply and need report on Tuesday, continued strength in the U.S. crude oil market kept a cover on wild market swings, experts stated.

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Corn futures edged higher early in the trading session, while wheat was blended.

” The market is getting ready for an unfavorable USDA report tomorrow,” stated expert Dax Wedemeyer of U.S. Commodities in West Des Moines, Iowa. “Everyone is anticipating the huge bean yields we’re becoming aware of to rollover into this report.”

The most active soybean agreement on the Chicago Board of Trade (CBOT) was down 0.78%to $1233 -1/ 4 a bushel at 11: 05 a.m. CDT (1605 GMT). Corn acquired 0.52%to $5.33 -1/ 4 a bushel and wheat dipped 0.03%to $7.33 -3/ 4 a bushel.

Meanwhile, experts stated they are keeping a sharp eye on weather condition patterns both in the United States and South America in the coming days.

Rains throughout the U.S. Midwest has actually slowed corn and soybean harvests, however weather report are requiring drier days by the end of the week, according to meteorologists at the Commodity Weather Group. And weekend rains in Brazil have actually stayed relatively prevalent, helping crop development.

Wheat began the session up on deal purchasing, after the most-active CBOT soft red winter season wheat agreement struck a one-week short on Friday, however costs quickly reduced back to almost the same. Traders stated that a few of the early purchasing was by funds trying to find a hedge versus inflation. (Additional reporting by Naveen Thukral in Singapore and Sybille de La Hamaide in Paris. Modifying by Subhranshu Sahu, David Goodman and Paul Simao)

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