Soybeans steady after latest four-year low, wheat and corn edge down
Soybeans tick up after setting another four-year low
Bumper U.S. harvest outlook hangs over soybean market
Ample supply, export competition curb corn and wheat
Updates at 1146 GMT, changes byline/dateline
By Gus Trompiz and Naveen Thukral
PARIS/SINGAPORE, Aug 14 (Reuters) -Chicago soybeans steadied on Wednesday after hitting another four-year low on a bumper outlook for the U.S. harvest, while corn and wheat edged down as large supply and strong export competition hung over the cereal markets.
The most-active soybean contract on the Chicago Board of Trade (CBOT) Sv1 was up 0.5% at $9.67 a bushel by 1146 GMT, after falling to its lowest since early September 2020 at $9.55-1/4.
The U.S. Department of Agriculture (USDA) raised its forecast for 2024/25 U.S. soybean production to a record level in a monthly outlook on Monday, while maintaining its estimate of soybean crop conditions at a four-year high in a separate weekly report.
"Over the past two sessions, funds have been keen to sell on the prospect of higher production in the USA," Argus analysts said in a note.
"The downturn in prices did, however, encourage some sales, such as the 132,000 tons to China reported yesterday by the USDA."
The sale to China suggested the recent price fall, together with a fall in the dollar this week, may have stirred some fresh demand.
Soybean and other oilseed markets have been burdened by concern over slow demand from China, raising the risk of a stiff battle for exports with South American suppliers led by Brazil.
A steadying in crude oil prices on Wednesday also lent some support to soybeans and corn, which are used in biofuels. O/R
CBOT corn Cv1 inched down 0.1% to $3.96-3/4 a bushel while CBOT wheat Wv1 eased 0.6% to $5.25-3/4 a bushel.
The weather outlook remained benign for corn and soybean crops in the U.S. Midwest, though traders are monitoring drought in Ukraine where producers warned that the corn crop could shrink by a third from last year if there is no rain relief.
Cheaper Black Sea supplies remained a drag on wheat prices, outweighing production losses in western Europe and an unexpected cut to the USDA's projection of U.S. supply.
Egypt's state grains buyer said it bought 280,000 metric tons of wheat in a tender on Monday, falling well short of its target of 3.8 million tons.
But the country's state commodities buyer GASC has since held talks to buy 30 cargoes, or up to 1.8 million metric tons, of wheat from sellers including Russia, traders said.
Prices at 1146 GMT | |||
Last | Change | Pct Move | |
CBOT wheat Wv1 | 525.75 | -3.00 | -0.57 |
CBOT corn Cv1 | 396.75 | -0.50 | -0.13 |
CBOT soy Sv1 | 967.00 | 4.50 | 0.47 |
Paris wheat BL2U4 | 207.50 | -3.25 | -1.54 |
Paris maize EMAc1 | 198.25 | -3.25 | -1.61 |
Paris rapeseed COMc1 | 458.50 | 5.75 | 1.27 |
WTI crude oil CLc1 | 78.24 | -0.11 | -0.14 |
Euro/dlr EUR= | 1.10 | 0.00 | 0.28 |
Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per metric ton | |||
Reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by Subhranshu Sahu and David Holmes
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