Commodities
Soy Extends Drop as Focus Shifts to Demand After US Supply Shock
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Soybean futures extended their decline to fresh 2020 lows with traders focusing on demand in the wake of the US Department of Agriculture’s surprise outlook for a record American harvest.
The USDA in its first estimate of US crops based in part on surveys from farmers Monday estimated the soybean harvest at 4.589 billion bushels — about 2.6% more than estimates in a Bloomberg survey of analysts. That’s as the USDA increased US soy planted acres by 1 million from its previous estimate. Fields were also boosted by ample rainfall and limited threatening heat.