Soybean stockpiles will likely swell this year, intensifying a crop surplus that has depressed prices.
The U.S. Department of Agriculture said that stocks of soybeans sitting in domestic silos would rise to 445 million bushels in 2017-18, up from 301 million last year. That is above the agency's previous estimate of 425 million bushels and in line with average analyst estimates.
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U.S. exporters have struggled to sell enough soybeans to stave off oversupply, and on Tuesday the agency trimmed its export projection for this season. Analysts say large crops in Brazil and Argentina have allowed them to continue selling oilseed to all-important consumers like China, even at times of year when the U.S. would typically be dominant.
Soybean futures for January delivery were little changed in the wake of the USDA's report, trading 0.2% lower at $9.81 a bushel at the Chicago Board of Trade.
The USDA raised its domestic wheat stock forecast for this season to 960 million bushels, above the agency's previous estimate and more than expected. Heightened international competition has also pressured demand for U.S. wheat.
The agency's U.S. corn stockpile forecast fell to 2.437 billion bushels from 2.487 billion in November, a larger decline than expected.
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(END) Dow Jones Newswires
December 12, 2017 12:43 ET (17:43 GMT)