Soybeans were weaker overnight following yesterday’s 30-cent advance while wheat and corn held onto modest gains.
Overnight, new-crop November soybeans took a run at the milestone $10 mark, but fell short hitting an intra-day high of $9.99 before returning to the low $9.90 mark. Funds were heavy buyers on Tuesday, buying 25,000 contracts.
This morning’s weather forecast suggests Argentina’s corn and soybean harvest could resume in much of the country next week after being plagued by flooding which put harvest at a standstill and potentially damaged crops there. In Brazil, stress to the 2nd season corn crop in the South may be eased as wet weather and cooler temps are expected early next week.
In crude oil, prices were off about $0.80 a barrel overnight after yesterdays API crude stocks number came in higher than expected. Average expectations were for a 1.6 million barrel build, but came in at a 3.1 million barrel build. Also pressuring crude, Kuwait oil workers called off a three-day strike, a key support that kept oil prices afloat after major global producers failed to agree to a production freeze last weekend.
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