Wheat falls on supply pressure, soybeans recover from one-month low
Wheat falls after early gains on Black Sea supply worry
Soybeans firm, market recovers from over one-month low
Recasts, adds quote in paragraph 3, updates prices
By Naveen Thukral
SINGAPORE, Nov 25 (Reuters) -Chicago wheat easedon Monday as ample supplies pressured prices, with the market giving up earlier gains that were triggered by worriesover shipments fromthe Black Sea region.
Soybeans rose after dropping to their lowest in more than one month, while corn slid.
"The wheat market has been supported by escalations in the Black Sea region but it has come down now as there is no major issue with supplies," said one grains trader in Singapore. "Prices will move higher if we actually see exports getting impacted."
The most-active wheat contract on the Chicago Board of Trade (CBOT) Wv1 lost 0.1% to $5.64-1/4 a bushel, as of 0431 GMT, and corn Cv1 fell 0.2% to $4.34-1/2 a bushel. Soybeans Sv1 gained 0.4% at $9.87-1/2 a bushel after dropping to its lowest since Oct. 21 on Friday.
Russia last week launched a hypersonic intermediate-range ballistic missile at the Ukrainian city of Dnipro in response to the U.S. and the UK allowing Kyiv to strike Russian territory with advanced Western weapons, and warned that more could follow.
The strike prompted short covering, as it raised worries over grain supplies from the Black Sea region.
The International Grains Council last week trimmed its forecast for 2024/25 global wheat production by 2 million metric tons to 796 million tons, driven partly by a diminished outlook for the European Union.
Soybeans touched a more than one-month low on Friday, pressured by favourable South American weather and China-Brazil trade deals, which could further reduce U.S. agricultural exports to the Asian country.
China granted Brazil permission to export sorghum, fresh grapes, sesame and fish products to Chinese buyers, the Latin American country's agriculture ministry said on Wednesday.
In Argentina, 2024/25 soybean planting progressed by 16 percentage points in the past week, reaching 35.8% of the 18.6 million hectares projected for the season, according to the Buenos Aires Grain Exchange.
Large speculators cut their net long position in Chicago Board of Trade corn futures in the week to Nov. 19, regulatory data released on Friday showed.
The Commodity Futures Trading Commission's weekly commitments of traders report also showed that noncommercial traders, a category that includes hedge funds, increased their net short position in CBOT wheat and increased their net short position in soybeans.
Reporting by Naveen Thukral; Editing by Rashmi Aich
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
