March 8, 2021
US soybean futures push higher as global supplies could be affected by Argentina's dry weather
United States soybean futures pushed higher on a fourth straight weekly gain last week, as global soybean supplies could be affected by Argentina's dry weather, Reuters reported.
Corn futures bounced back from a three-week low, while wheat futures edged higher.
The Commodity Weather Group said dry weather in Argentina, the biggest soymeal exporter in the world, could result in severe yield loss for 30% of the soy belt.
Maxar, a weather company, said Argentina is set for below-normal rains for the coming two weeks, which will stress second-crop soybeans.
With the upcoming release of the latest US Department of Agriculture (USDA) monthly crop forecasts, some traders have adjusted their positions. The USDA is projected to drop its 2020/21 ending stocks estimates for soybeans and corn.
Soybean stocks in the United States are set to drop to a 9-1/2-day supply ahead of the next North American harvest due to record soybean crushing and exports.
The Chicago Board of Trade (CBOT) most active soybean contract ended 19-1/2 cents at US$14.30 a bushel.
CBOT corn increased 13 cents to US$5.45-1/2 a bushel, as traders said the smaller than expected sales mean that high corn prices are lowering demand.
CBOT wheat closed 2 cents higher at US$6.53 per bushel.