Global Soybean and Grain Market Drops Amid Profit-Taking
The global market for soybeans and grains experienced a significant drop in overnight trading due to profit-taking by speculative investors. The most-active soybean contract reached its highest level in three years, prompting long-position holders to sell their contracts and book profits.
The ongoing war between the U.S. and Iran has driven up oil prices, while the conflict between Russia and Ukraine continues to underpin wheat prices. However, concerns about the amount of corn used in ethanol after the Environmental Protection Agency granted renewable credits to 29 small oil refiners weighed on prices overnight.
Soybean futures for November delivery plummeted 13 1/4¢ to $13.04 1/2 a bushel, while wheat futures for December delivery lost 12 1/2¢ to $7.70 a bushel.