Chicago Soybeans is steady on Tuesday after falling two days while corn is held at the highest one week when traders are waiting for US government plant reports that can provide an initial projection of the impact of trade from the recent tariff announcement.
Wheat falls from one week on Monday.
Concerns that US tariffs will injure economic growth have disturbed financial markets, while seed investors are alert that China can avoid US soybeans that support Brazilian bumper plants.
The US Department of Agriculture has said that agricultural reports and requests for the estimated world world that fall in 1600 GMT will consider the applicable trading policy.
US President Donald Trump has imposed new tariffs on Chinese goods, while also promising reciprocal levies against all trading partners. China has responded to retail rates about US agricultural goods.
“The seed traders are waiting for the Wasde report today which will calculate the existing trade tariffs as part of global estimates for world corn, soybeans and wheat,” Saxo Bank said.
The most active soybean contract at the Chicago Trade Council (CBOT) ZS1! Up 0.4% at $ 10.18 per bushel at 1149 GMT, recovered from the lowest level almost one week earlier that day.
CBOT Wheat ZW1! down 0.5% to $ 5.59-3/4 per bushel, while Corn ZC1! up 0.5 at $ 4.74-1/2 per bushel after setting the peak of another week.
Trade tension adds concerns about China’s demand.
The Chinese consumer price index in February missed hopes and dropped at the sharpest speed in 13 months, while the price deflation of producers remains.
“In the physical market, there are many soybeans in South America,” said a seed trader in Singapore. “In addition, we can see a slowdown in China’s demand.”
US Corn, however, is being supported by a limited alternative supply in the world market and analysts expect USDA to cut their estimates for US shares at the end of this season.
In wheat, concerns about dry weather in the US and Plains Russia provide support for prices on Monday.
However, the Indian Ministry of Agriculture said the country would likely produce a record of 115.4 million metric tons of wheat in 2025, packing the expectations of the possibility of imports.
Source: Reuters
