SINGAPORE- Chicago soybeans slid more than 2 percent on Monday, falling for the first time in three sessions after a US government report raised the country’s production forecast, with additional pressure from expectations of improved weather this week.
Corn and wheat lost more than 1 percent each.
“Traders were expecting a cut in soybean production but the USDA (US Department of Agriculture) raised production and yield to record highs,” according to a Hightower report.
“The report news was bearish, especially the jump in yield as acreage was adjusted lower.
Traders also see the cooler and wetter weather expected this week as a bearish factor.”
The most-active soybean contract on the Chicago Board of Trade (CBOT) lost 2.1 percent to $14.24-1/2 a bushel. Corn fell 1.4 percent to $6.33 a bushel and wheat gave up 1.6 percent to $7.93-1/4 a bushel.
US soybean production will be bigger than previously forecast as better-than-expected yields will more than make up for a cut to acreage, the US government said on Friday. — Reuters