Soybean futures rose for the third straight day on signs that August rain failed to boost crop yields in the U.S., the world’s biggest producer. Corn gained, while wheat dropped.
Informa Economics Inc., based in Memphis, Tennessee, cut its forecast today for soybean output by 1.5 percent to 3.176 billion bushels from a Sept. 20 estimate, partly because crop conditions deteriorated last month. The harvest was 11 percent completed as of Sept. 29, trailing the five-year average, government data showed.
“Informa’s crop forecast came in a little lower than people expected,” Don Roose, the president of U.S. Commodities Inc. in West Des Moines, Iowa, said in a telephone interview. “Prices also gained as Midwest rain delaying the harvest is keeping supplies from getting to processors and exporters, boosting some cash bids.”
Soybean futures for November delivery gained 0.5 percent to close at $12.95 a bushel at 1:15 p.m. on the Chicago Board of Trade, capping a three-day rally of 2.1 percent.
Stockpiles from last year’s crop were 141 million bushels, down from 169 million a year earlier and the smallest since 2009, the USDA said on Sept. 30. U.S. output may be 3.15 billion bushels, 4.4 percent more than last year, the agency estimates.
Corn futures for December delivery rose 0.9 percent to $4.4325 a bushel. This week, the price dropped 2.4 percent. The USDA said on Sept. 12 that farmers would harvest a record 13.84 billion bushels.
Wheat futures for December delivery fell 0.3 percent to $6.87 a bushel. The price climbed 0.6 percent this week as excess rain reduced winter-crop planting in Ukraine and Russia.
The USDA’s scheduled monthly update on Oct. 11 for domestic and global estimates of supply and demand may be delayed by an extended shutdown of the federal government. The agency has suspended daily reports.