USDA Report Sparks Decline in Chicago Soybean Futures
Chicago soybean futures continued to decline on Friday following the release of the U.S. Department of Agriculture's supply and demand report, which increased its forecast for soybean production.
The USDA estimated that farmers will harvest 15.8 billion bushels this fall, with a yield average of 178.5 bushels per acre. Analysts had also predicted similar numbers, estimating corn to produce 15.785 billion bushels with a yield average of 178.2 bushels/acre and soybeans to produce 4.501 billion bushels with a yield average of 52.5 bushels/acre.
Corn prices remained steady, despite briefly rising before reversing its gains. The USDA lowered its estimate of the corn harvest for the United States after concerns over crop damage were raised by summer heat.
CBOT Wheat dropped to $7.20-1/4 a bushel, as the agency avoided making changes to Black Sea exports. China's purchase of 1 million metric tonnes of U.S. soya beans this week helped stabilize soybean prices, which had risen to their highest level in three years due to Chinese demands.