Grain futures fell Tuesday as big U.S. yields and stiff export competition depressed corn and wheat markets. Soybeans were mixed.
Prices for wheat declined for the fifth straight day, hitting the lowest level in nearly two months. Contracts for the grain succumbed to pressure from technical selling and robust exports from Russia, a key competitor for U.S. wheat shipments. Russian wheat exports are expected to hit a record this year, according to the U.S. Department of Agriculture, signaling to traders that U.S. wheat needs to trade at a lower level in order to win export business.
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In turn, lower wheat prices acted as a drag on the corn market, which fell for the fourth in five sessions. Corn prices were further weighed down by ongoing reports of better-than-expected yields from the U.S. harvest, as well as anticipation that a monthly USDA report due out next week will forecast higher yield estimates for the grain.
Wheat futures for December delivery dropped 6 1/4 cents, or 1.5%, to $4.18 1/2 a bushel at the Chicago Board of Trade, the lowest closing price since Sept. 8. December corn fell three cents, or 0.9%, to $3.45 3/4 a bushel.
Nearby soybean prices ticked higher, while later-dated contracts were flat. Analysts said good demand for U.S. soybean supplies from China was supporting oilseed prices, though export sales this season still are lagging thanks to intense competition from South American shipments.
CBOT November soybeans gained one cent, or 0.1%, to $9.73 3/4 a bushel. March contracts were unchanged at $9.95 a bushel.
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(END) Dow Jones Newswires
October 31, 2017 15:50 ET (19:50 GMT)