SINGAPORE- Chicago soybeans gained more ground on Tuesday, with prices underpinned by hot weather in top exporter Brazil which is likely to stress the newly planted crop despite some rains over the weekend.
Wheat rose, recouping some of the last session’s losses, although the improved condition of the US winter crop limited gains and corn edged lower.
“Brazil’s soybean planting is running well below last year’s pace,” said one Singapore-based trader. “High temperatures and lack of rains are threatening the crop.” The most-active soybean contract on the Chicago Board of Trade (CBOT) added 0.6 percent to $13.75-1/4 a bushel, having climbed more than 2 percent in the previous session.
Wheat rose 0.7 percent to $5.74-3/4 a bushel and corn lost 0.1 percent to $4.69-1/4 a bushel.
There was additional support for grains and oilseed prices stemming from a weaker dollar, which makes greenback-priced goods cheaper for buyers holding other currencies. The dollar was on the defensive and trading by multi-month lows on the euro and a handful of other major currencies on Tuesday, as investors expect US interest rates to fall next year and see that as a signal to sell the dollar in anticipation.
