Soybeans Slump Most Since July as U.S. Harvest QuickensJeff Wilson
Soybeans capped the biggest two-day drop in four months as farmers accelerated harvesting of the biggest-ever crop in the U.S, the world’s top grower. Corn also fell.
Soybean gathering was 83 percent complete as of Nov. 2, up from 70 percent in the prior week, the U.S. Department of Agriculture said yesterday. Corn collection advanced to 65 percent finished from 46 percent. Production of both crops will probably top the government’s last forecast, which was already estimated at all-time highs, a Bloomberg survey showed.
“Harvesting advanced more quickly than people expected, and farmers are selling more as storage space begins to get tight,” Greg Grow, the director of agribusiness for Archer Financial Services Inc. in Chicago, said in a telephone interview. “The crops are getting bigger, and the USDA will likely confirm rising supplies in its monthly report next week.”
Soybean futures for January delivery fell 1.9 percent to $10.0975 a bushel at 1:15 p.m. on the Chicago Board of Trade. Prices dropped 3.8 percent over two days, the biggest such loss since July 1.
Corn futures for December delivery declined 2.4 percent to $3.645 a bushel, after falling 0.9 percent yesterday.
Soybeans gained 15 percent and corn rallied 17 percent last month as rains delayed the U.S. harvest and train congestion hampered shipments of animal feed. The USDA will update its outlook on domestic and global supplies on Nov. 10.
Prices for both crops also fell today on prospects that a combination of rain and warm weather will aid planting and early plant development in Brazil and Argentina, Grow said.
Wheat futures for delivery in December lost 1.4 percent to $5.305 a bushel in Chicago. U.S. farmers are almost finished planting the winter variety, with 90 percent of intended area sown as of Nov. 2, the USDA said yesterday.