On Monday, Chicago Board of Trade (CBOT) agricultural futures saw a decline across the board, with wheat leading the decrease.
The most active corn contract for March delivery dropped 7.25 cents, or 1.5 percent, to a settlement of 4.7525 U.S. dollars per bushel. March wheat also saw a significant decline, plunging 16.25 cents, or 2.82 percent, to settle at 5.61 dollars per bushel. January soybean lost one cent, or 0.08 percent, to settle at 13.2975 dollars per bushel.
Fund selling led to new contract lows for CBOT corn and wheat. Soybean futures were lower due to the prospects of improving Northern Brazilian weather with better rains predicted after Dec. 4.
No farmers from the United States, Brazil, or Argentina have been selling. According to Chicago-based research company AgResource, U.S. and world soybean stocks are tightening, and corn will follow suit, but it will take time for a bottoming process to occur.
Reports suggest that China has purchased another three to five cargoes of U.S. soybeans. In the week ending Nov. 23, the United States exported 16 million bushels of corn, 53 million bushels of soybeans, and 10.2 million bushels of wheat, according to the U.S. Department of Agriculture.
For the respective crop years to date, the United States has exported 286.1 million bushels of corn, which is an increase of 20 percent compared to the previous year; 614.3 million bushels of soybeans, a decrease of 11 percent; and 298.5 million bushels of wheat, a decrease of 23 percent.
There is drier weather across Northern Brazil with limited rainfall expected for at least the next six days. However, better rain is forecasted to fall after Dec. 4 across Northern Brazil. Southern Brazilian weather is expected to stay wet with rains predicted every two to three days.
