By Stephanie Kelly
NEW YORK, July 26 (Reuters) – Chicago soybeans dropped on Monday to their lowest in two weeks whereas corn slid for a 3rd consecutive session, as forecasts of cooler climate in elements of the U.S. Midwest and slowing demand in high purchaser China weighed on costs.
Wheat costs additionally fell.
Scorching, dry climate within the U.S. Midwest had raised considerations in regards to the outlook for crops in the important thing rising area for each corn and soybeans.
“The prospect of higher climate in August, as predicted by varied climate fashions, is inflicting the U.S. market to say no regardless of present dry situations,” Agritel stated in a observe.
“The forecasts have but to be confirmed in coming weeks, however are pushing some merchants to unload their positions or begin taking income,” the analyst added.
Probably the most-active soybean contract on the Chicago Board Of Commerce (CBOT) Sv1 was down 0.5% at $13.45-1/2 a bushel, as of 11:23 a.m. EDT (1523 GMT), after setting a two-week low of $13.32.
China’s soybean imports are set to gradual sharply in late 2021 from a file first-half tally, confounding expectations for sustained progress from the highest international purchaser and denting market sentiment simply as U.S. farmers look to promote their new crop.
CBOT corn Cv1 misplaced 0.9% to $5.38 a bushel. It earlier fell to $5.32-1/four a bushel, the bottom since July 13.
The U.S. Division of Agriculture reported unfavorable web corn export gross sales for the week ended July 15, pushed by the cancellation of some gross sales to China.
“We’re seeing considerations about export demand and revised expectations for exports to China,” stated Wealthy Nelson, chief strategist at Allendale, Inc.
Sellers stated wheat costs additionally continued to fall with international provides seen remaining ample regardless of considerations about crops in some areas.
CBOT wheat Wv1 fell 1.1% to $6.76-1/four a bushel, easing on lackluster export demand for U.S. provides and increasing harvest within the Black Sea area.
Russia’s southern area of Krasnodar, one of many largest wheat producing and exporting areas of the nation, has harvested a file grain crop of 12.four million tonnes, together with 10.5 million tonnes of winter wheat, its governor stated on social media.
(Reporting by Stephanie Kelly Further reporting by Nigel Hunt and Naveen Thukral Enhancing by David Evans and David Holmes)
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