SINGAPORE- Chicago soybeans slid as mounting diplomatic tensions between Beijing and Washington stoked fears over China’s demand for US supplies.
Wheat fell after two days of gains amid harvest pressure while corn lost ground.
“I think there is just too much uncertainty between the US and China relations,” said Ole Houe, director of advisory services at agriculture brokerage IKON Commodities in Sydney.
“China is likely just stocking up before turning up the heat.”
The most-active soybean contract on the Chicago Board Of Trade (CBOT) fell 0.2 percent to $8.94 a bushel, corn slipped 0.3 percent to $3.33-3/4 a bushel and wheat dropped 0.4 percent to $5.32-1/4 a bushel.
Washington has given Beijing 72 hours to close its consulate in Houston amid accusations of spying, marking a dramatic deterioration in relations between the world’s two biggest economies.
China, by far the world’s biggest soybean importer, has stepped up purchases of US farm products in recent weeks.
Private exporters reported the sale of 453,000 tons of soybeans to China and 211,300 tons to unknown destinations, the US Department of Agriculture (USDA) said. — Reuters
