Corn Slides to Week Low on Record U.S. CropJeff Wilson
Soybean futures fell to a two-week low as farmers increased sales from a bumper crop in the U.S., the world’s top producer. Wheat slumped the most in five weeks, and corn dropped.
The soybean harvest was 94 percent complete as of Nov. 16, compared with an average of 96 percent in the previous five years, U.S. Department of Agriculture data showed this week. Output will rise 18 percent to a record 3.958 billion bushels, the agency estimated last week. Yesterday, premiums on supplies for shipment from New Orleans fell to the lowest since July.
“Falling exporter bids and falling futures are signs that supplies are adequate,” Chad Henderson, the president of Prime Agricultural Consultants Inc. in Brookfield, Wisconsin, said in a telephone interview. “Demand is slowing.”
Soybean futures for January delivery fell 1.8 percent to close at $10.0475 a bushel at 1:15 p.m. on the Chicago Board of Trade. Earlier, the price touched $10.0375, the lowest for a most-active contract since Nov. 5.
U.S. exporters shipped a record 3.113 million metric tons in the week ended Nov. 13, up 25 percent from a week earlier, USDA data showed this week. About 78 percent were headed for China, the biggest consumer. On the Dalian Commodity Exchange today, soybeans fell to the lowest since July.
“It appears that Chinese demand for U.S. soybeans is also slowing,” Henderson said.
Wheat futures for March delivery fell 1.8 percent to $5.41 a bushel, the biggest drop since Oct. 9.
Corn futures for March delivery fell 2.3 percent to $3.76 a bushel, the largest drop since Nov. 4. The grain declined for the fourth straight session, the longest slump since Sept. 23.
This year, U.S. output will rise to 14.407 billion bushels, an all-time high, the government says.