Soybeans Surge as Yields Concerns Rise Amid US Midwest Weather Worries

Soybean futures on the Chicago Board of Trade rose for a third straight session on Tuesday, August 18, as concerns about this year's harvest yields in the US Midwest grew. Weather reports and crop data have analysts worried that yields may be lower than expected.

Firm crude oil prices and strong demand from China also contributed to the increase in soybean futures. The most-active contract was last up 8-3/4 cents to $12.24-1/2 per bushel as of 10:30 a.m. CT (1530 GMT).

Wheat futures, however, were largely flat due to a buildup of supplies at ports in the Black Sea region. Analyst Randy Place from Hightower Report noted that while war disruptions have curtailed shipments, there is still plenty of supply available.

The US Department of Agriculture cut its corn and soybean yield forecasts last week, and traders are closely watching the Pro Farmer field tour for further indications. South Dakota's corn yield prospects and soybean pod counts are lower than last year and the three-year average, according to scouts on the annual tour.