Soybean Prices Plunge on Profit Taking and Technical Selling

Soybean prices plummeted on Monday due to profit taking and technical selling. Cooler weather forecasts for key growing areas, combined with better rain potential in some regions, have led to a decline in soybean prices.

The USDA reported that 63% of U.S. soybeans are in good to excellent condition, down 3%, with 80% blooming and 47% setting pods. Crude oil dropped on the pause in the conflict between the U.S. and Iran, which remains highly volatile.

China bought 132,000 tons of U.S. soybeans ahead of the open, while unknown destinations picked up 126,000 tons. Soybean meal and oil futures also dropped sharply during Monday's session.

Corn prices were lower due to profit taking and technical selling, with corn monitoring U.S. development weather and spillover from the decline in crude. As of Sunday, 63% of U.S. corn is called good to excellent, a decline of 4%, with 78% silking and 25% dough making stage.

The wheat complex was lower on profit taking and technical selling, with the trade watching commercial shipping traffic in the Black Sea. Russia's war on Ukraine has had an impact on export business in that region, with winter wheat 81% harvested compared to the five-year average of 79%.