US Soybean Prices Increase for the Fourth Day Due to Weather
Soybean Futures Supported by Weather Concerns
Soybean prices in the US have risen for the fourth straight day, with traders pointing to dry weather in parts of South America. On the Chicago Board of Trade (CBOT), soybean futures rose 0,20% to $10,13-3/4 per bushel over the weekend, marking a second consecutive weekly increase. Analysts attribute this rise to limited rainfall and rising temperatures in southern Brazil and Argentina, which could impact crop yields.Corn and Wheat Show Mixed Trends
While soybean prices increased, corn futures fell 0,10% to $4,59-1/4 per bushel, the lowest level since mid-June. Wheat futures, on the other hand, gained 0,10% to settle at $5,46 per bushel. Russia’s slow winter wheat growth and government actions to restrict exports have added uncertainty to the wheat market.Brazil’s Record Soybean Crop Keeps Prices in Check
Brazil, the world’s top soybean exporter, is on track for record production this season. Consulting firm StoneX estimates soybean output for 2024-25 at 171,4 million tonnes, a 14,40% increase from last year’s 166,2 million tonnes. This growth is driven by an expanded planting area and improved productivity. However, ongoing dry weather in parts of South America is creating short-term support for prices.Weather Drives Soybean and Corn Prices
Limited rainfall and rising temperatures in Brazil and Argentina remain a concern for soybean and corn crops. Analysts believe these weather conditions could continue to support prices in the coming weeks, despite expectations of strong overall production.Wheat prices are being influenced by challenges in Russia, one of the world’s largest exporters. Weak winter wheat growth and export restrictions have added uncertainty to global wheat availability, further supporting prices.
Summary
Soybean prices are rising due to dry weather in South America, even as Brazil’s record production looms. Corn prices have softened, while wheat remains supported by challenges in Russia. The market is expected to remain sensitive to weather patterns and export developments in the coming weeks.Click here to reach our trading platfrom CMBroker
