US soy futures fall as China may slow imports

Soy futures fell the most this month on speculation that China's efforts to curb inflation will slow economic growth, reducing demand for food, fuel and animal feed made from imported oilseeds.

A benchmark stock index in China fell to a six-month low on concern that government measures to cool the property market will damp consumer spending. China is the biggest user of soy. The US, Brazil and Argentina, the largest exporters, will harvest record crops, boosting global reserves to the highest ever on October 1, the USDA said.

Soy futures for July delivery fell 10 cents, or 1%, to US$9.99 a bushel at 10:24 a.m. on the CBOT. A close at that price would be the biggest drop for a most-active contract since March 31. Earlier, soy reached US$10.20, the highest price since January 11.

Soy is the second-biggest US crop, behind corn, with a 2009 value of US$31.8 billion, government figures show. The US is the world's biggest producer and exporter, followed by Brazil and Argentina.