Soybeans and Corn Futures Drop on Limited Weather Damage in U.S. Corn Belt, US

Date:

Updated: 1:36 AM, Tue July 09, 2024

Chicago Board of Trade soybeans and corn futures on Monday dropped to around the lowest prices in four years, as traders expected a positive picture of U.S. crop progress from the U.S. Department of Agriculture in a report due later in the day.

Traders expected only isolated crop damage from a recent spate of hail, heavy rainfall and extreme flooding across parts of the western Corn Belt, not widespread problems.

Both old-crop July and September corn contracts dropped below the key psychological level of $4 per bushel, while the most-active soybean contract slumped to the lowest price seen since November 2020.

Wheat futures also turned sharply lower, amid market expectations that recent dry, hot weather will enable good U.S. harvesting progress.

Strength in the U.S. dollar also cast a bearish pall over grain and soybean futures, as a stronger dollar tends to make U.S. commodities less attractive on the export market.

Wheat futures also turned sharply lower on expectations that recent dry, hot weather will enable good U.S. harvesting progress.

Chicago Board of Trade most-active wheat settled the day down 20 cents at $5.70-1/2 a bushel. Corn ended down 16-1/4 cents to $4.07-3/4 a bushel, and soybeans fell 30-1/4 cents to $10.99-1/2 a bushel.

Weather has improved in major exporters Russia, the United States, and Canada in recent weeks, and an abundance of corn is also dragging on wheat prices.

Frequently Asked Questions (FAQs) Related to the Above News

Why did soybeans and corn futures drop on the Chicago Board of Trade?

Soybeans and corn futures dropped due to limited weather damage in the U.S. Corn Belt, as traders expected positive crop progress from the U.S. Department of Agriculture.

What factors contributed to the drop in wheat futures?

Wheat futures turned sharply lower due to market expectations of good harvesting progress in the U.S. following recent dry, hot weather conditions.

How did the strength of the U.S. dollar affect grain and soybean futures?

A stronger U.S. dollar made U.S. commodities less attractive on the export market, which cast a bearish pall over grain and soybean futures.

What were the settlement prices for wheat, corn, and soybeans at the end of the day?

The most-active wheat settled at $5.70-1/2 a bushel, corn ended at $4.07-3/4 a bushel, and soybeans fell to $10.99-1/2 a bushel.

What has improved in major export countries like Russia, the United States, and Canada in recent weeks?

Weather conditions have improved in major export countries, leading to an abundance of corn that is also dragging down wheat prices.

Please note that the FAQs provided on this page are based on the news article published. While we strive to provide accurate and up-to-date information, it is always recommended to consult relevant authorities or professionals before making any decisions or taking action based on the FAQs or the news article.

Shreya Gupta
Shreya Gupta
Shreya Gupta is an insightful author at The Reportify who dives into the realm of business. With a keen understanding of industry trends, market developments, and entrepreneurship, Shreya brings you the latest news and analysis in the Business She can be reached at shreya@thereportify.com for any inquiries or further information.

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