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Business Recorder
07-07-2025
- Business
- Business Recorder
Wheat falls more than 3% on supply pressure; corn, soybeans drop
SINGAPORE: Chicago wheat futures slid more than 3% to a one-week low on Monday, as ample supplies from the ongoing Northern Hemisphere harvest dragged down the market. Corn and soybeans fell about 1.3% on expectations of bumper US production as trading resumed after the US Independence Day holiday on Friday. 'There is general harvest pressure in the wheat market,' said Ole Houe, head of advisory services at IKON Commodities in Sydney. 'US futures in particular for wheat had rallied to a level where US was uncompetitive.' The most-active wheat contract on the Chicago Board of Trade (CBOT) fell 3.2% to $5.46-1/4 a bushel, as of 0230 GMT, after hitting its lowest since July 1 earlier in the session. EU wheat eases in US holiday lull Corn lost 1.4% to 4.27-1/2 a bushel and soybeans shed 1.4% to $10.33-3/4 a bushel. Wheat prices are being anchored by an accelerating US winter crop harvest and big crops in the Black Sea region and western Europe. There was additional pressure on the wheat market as Russia, the world's No. 1 supplier, decided to cut its export tax to zero. It is the first time the tax has been removed since it was introduced in 2021 to protect the domestic market from price spikes and to discourage excessive exports. Drought in the Rostov region, Russia's top wheat and grain producing region in 2024, is not seen affecting the overall grain harvest in Russia, Agriculture Minister Oksana Lut said on Friday, the state RIA news agency reported. Participants in agricultural markets are closely watching the outcome of trade talks between the United States and its key partners, particularly China, by far the world's largest soybean importer. The United States is close to finalising several trade agreements in the coming days and will notify other countries of higher tariff rates by July 9, President Donald Trump said on Sunday, with the higher rates to take effect on August 1. The European Union will cut Ukrainian wheat and sugar imports by up to 80% to address its farmers' concerns, according to quotas announced on Friday, that are likely to drive Ukraine growers to sell more to markets in Asia and Africa.
Business Recorder
25-06-2025
- Business
- Business Recorder
Chicago soy rises on oil rebound; wheat, corn fall on ample supply outlook
BEIJING: Chicago soybean and soyoil futures edged higher on Wednesday, supported by a rebound in oil prices as investors monitored the fragile ceasefire between Iran and Israel. The most-active soybean contract rose 0.24% to $10.39-4/8 per bushel after three straight sessions of losses. Soyoil gained 0.78% to 53.02 cents per pound. 'Soybean and soyoil are taking a breather as they overshot a bit to the downside,' said Ole Houe, head of advisory services at IKON Commodities in Sydney. Oil prices edged higher after plummeting in the last two sessions, underpinning soyoil, which often tracks crude because it is used in biofuel as a substitute for fossil fuel. 'The crude oil market has stabilised at levels marginally higher than before the Israel-Iran war so that has given some confidence we don't need to slide too much for now,' Houe said. Warm, rainy weather in the US Midwest is expected to aid crop development in the coming days, according to forecasters. Corn eased 0.06% to $4.16 a bushel, hovering near this year's lowest level, as benign weather across the US Corn Belt and strong global crop prospects pressured prices. In Brazil, farmers are estimated to produce a record 123.3 million metric tons of second corn, agribusiness consultancy Agroconsult said on Tuesday. China's May soybean imports from Brazil jump Second corn, which Brazilian farmers are harvesting now, will account for about 80% of national output this year. It is mainly exported in the second half, competing with US corn suppliers on global markets. Wheat slid 0.45% to $5.49-4/8 a bushel, weighed by a strong production outlook across the northern hemisphere and accelerating harvest activity. Argus Media raised its forecast for Russia's 2025-26 wheat output to 84.8 million tons, up from 81.3 million tons a year ago.
Zawya
20-06-2025
- Business
- Zawya
Chicago wheat slips as harvest pressure sets in; soybeans set for weekly gain
BEIJING - Chicago wheat futures pulled back on Friday after a pre-holiday short-covering rally in the U.S., as harvest pressure looms in Europe and the Black Sea region. The most-active wheat contract dropped 0.59% to $5.87 a bushel, as of 0211 GMT, but remains near a four-month high and is set for a weekly gain. Wheat found some support in the previous trading session, as weather concerns in parts of the U.S. and Europe prompted speculators to cover short positions. "We think that most of the rally will be given back over the next week due to harvest pressure just about to come along in EU and Black Sea," said Ole Houe, head of advisory services at IKON Commodities in Sydney. Soybeans rose 0.02% to $10.75 per bushel and remained on course for a third consecutive weekly gain. Strength in the energy market this week, driven by heightened tensions between Israel and Iran, has lent support to agricultural commodities like soybeans and corn. Higher crude oil prices enhance the appeal of soyoil and corn as biofuel feedstocks. Corn eased 0.17% to $4.32-6/8 a bushel, with prices hovering near their lowest level of 2025. Corn is poised to end the week lower. "Corn is holding the line as no real news and the Israel attacks are not enough to keep any enthusiasm in the face of a 400 million metric tons of U.S. corn crop," Houe said. In Argentina, corn yields are exceeding initial expectations in some areas for the 2024/25 crop, the Buenos Aires Grains Exchange said on Thursday, though it maintained its overall harvest forecast at 49 million metric tons as excessive moisture slowed fieldwork. Traders are awaiting market direction from the U.S. Department of Agriculture's weekly export sales report, which will be released later on Friday.
Business Recorder
13-06-2025
- Business
- Business Recorder
Soybeans rise on oil rally, still on track for weekly loss
BEIJING: Chicago soybeans rose on Friday, buoyed by surging soyoil prices, but remain on track for a weekly loss amid uncertainty over US biofuel mandates, weak exports, and ample global supplies. The most-active soybean contract on the Chicago Board of Trade (CBOT) climbed 0.74% to $10.50 per bushel, rebounding after two straight sessions of losses. 'Rising crude oil prices lifted soyoil prices by making biodiesel more attractive, boosting demand for soyoil as a key biofuel ingredient,' said Johnny Xiang, founder of Beijing-based AgRadar Consulting. Oil prices jumped more than 7% on , hitting their highest in months after Israel said it struck Iran, dramatically escalating tensions in the Middle East and raising worries about disrupted oil supplies. The US Environmental Protection Agency (EPA) on Friday is expected to propose lower than-anticipated biofuel blending mandates, four sources told Reuters. The news pushed soybean prices to a one-week low in the previous session. Archer-Daniels-Midland, a key US soybean crusher and biofuel producer, cut bids for soybeans this week ahead of the EPA announcement. Chicago soybeans dip on US-China trade jitters Soybean futures also came under pressure from weak domestic cash markets, poor weekly export sales and abundant global supplies. In top soy producer Brazil, crop agency Conab raised its estimate of the country's 2024/25 soybean harvest to 169.60 million metric tons, up from 168.34 million tons. In Argentina, the world's third-largest producer, 2024/25 soybean harvest is now seen at 50.3 million tons, 300,000 tons above the prior forecast, the Buenos Aires Grain Exchange said on Thursday, citing better yields. Wheat is headed for a weekly loss, weighed by soft export sales, seasonal harvest pressure and favourable crop conditions in the US and Russia. 'Global markets continue to slide in the face of sluggish demand around the globe,' said Ole Houe, head of advisory services at IKON Commodities in Sydney. 'The groundwork for higher prices is there but the time frame is months rather than weeks, and before that can happen, we have to go through North Hemisphere harvest pressure.' Corn rose 0.74% to $4.41-4/8 a bushel, supported by a weaker dollar and tighter stocks forecast in a monthly US government crop report. However, prices are on track for a third straight weekly decline, as favourable weather for the recently planted US crop fuels expectations of a large harvest.
New Straits Times
13-06-2025
- Business
- New Straits Times
Soybeans rise on oil rally, still on track for weekly loss
BEIJING: Chicago soybeans rose on Friday, buoyed by surging soyoil prices, but remain on track for a weekly loss amid uncertainty over US biofuel mandates, weak exports, and ample global supplies. The most-active soybean contract on the Chicago Board of Trade (CBOT) climbed 0.74 per cent to US$10.50 per bushel, rebounding after two straight sessions of losses. "Rising crude oil prices lifted soyoil prices by making biodiesel more attractive, boosting demand for soyoil as a key biofuel ingredient," said Johnny Xiang, founder of Beijing-based AgRadar Consulting. Oil prices jumped more than 7 per cent on , hitting their highest in months after Israel said it struck Iran, dramatically escalating tensions in the Middle East and raising worries about disrupted oil supplies. The US Environmental Protection Agency (EPA) on Friday is expected to propose lower than-anticipated biofuel blending mandates, four sources told Reuters. The news pushed soybean prices to a one-week low in the previous session. Archer-Daniels-Midland, a key US soybean crusher and biofuel producer, cut bids for soybeans this week ahead of the EPA announcement. Soybean futures also came under pressure from weak domestic cash markets, poor weekly export sales and abundant global supplies. In top soy producer Brazil, crop agency Conab raised its estimate of the country's 2024/25 soybean harvest to 169.60 million metric tons, up from 168.34 million tons. In Argentina, the world's third-largest producer, 2024/25 soybean harvest is now seen at 50.3 million tons, 300,000 tons above the prior forecast, the Buenos Aires Grain Exchange said on Thursday, citing better yields. Wheat is headed for a weekly loss, weighed by soft export sales, seasonal harvest pressure and favourable crop conditions in the US and Russia. "Global markets continue to slide in the face of sluggish demand around the globe," said Ole Houe, head of advisory services at IKON Commodities in Sydney. "The groundwork for higher prices is there but the time frame is months rather than weeks, and before that can happen, we have to go through North Hemisphere harvest pressure." Corn rose 0.74 per cent to US$4.41-4/8 a bushel, supported by a weaker dollar and tighter stocks forecast in a monthly US government crop report.
