Chicago soybeans slip as larger US crop weighs on prices

what happened

Chicago Board of Trade soybeans fell 0.3% on Monday to $12.88 a bushel at 1215 GMT, Reuters reported. Traders were assessing the impact of a US Department of Agriculture forecast for a larger-than-expected crop, while weaker soymeal added pressure. Wheat rose 0.1% to $6.71-3/4 a bushel, and corn gained 0.3% to $4.81-1/2.

“Soybeans are still weakened by Friday’s harvest forecast exceeding expectation,” Matt Ammermann, commodity risk manager at StoneX, told Reuters. He said soymeal was being undermined by favorable US harvest weather, which improves the prospects of supplies for crushers if harvesting continues at a good pace. China resumed work after its recent holiday period, but the lack of Chinese purchases of US soybeans disappointed the market.

Corn found support from buying after Friday’s sharp losses, which followed the USDA’s unexpectedly large harvest forecast. Asian buyers also issued a series of new corn import tenders on Monday. Ammermann said it was “a good time to buy” for those needing supplies, while adding that the broader corn outlook remained bearish because the USDA forecast would imply the second-largest US harvest on record if confirmed.

Wheat advanced as hopes faded for progress toward a Black Sea peace deal that could allow Russia and Ukraine to restart seaborne exports. US President Donald Trump announced an energy ceasefire between Ukraine and Russia, but Ukraine’s leader said he was still waiting for details, while Russia did not comment. Ammermann said the market response was modest.

why it matters

The larger USDA crop outlook is weighing on soybeans and corn, although post-decline buying has provided temporary support for corn. Wheat is responding to changing expectations for Black Sea shipments and the parties’ reactions to the announced energy ceasefire.

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