Chicago grain futures slipped in Asian trading on Thursday, with soybeans extending losses to a third day amid declining demand for U.S. exports as buyers in top customer China sought cheaper South American supplies.
The most-traded soybean contract on the Chicago Board of Trade (CBOT) was down 0.2% at $14.52-1/4 a bushel, as of 0542 GMT.
CBOT wheat slipped 0.1% to $8.71 a bushel, pulling back after the contract hit its highest since July 11 at $8.84-3/4 earlier in the session.
CBOT corn lost 0.4% to $6.79-1/4 a bushel, also down for a third session.
“The market saw technical selling and profit-taking after Monday’s market rally,” analysts at Zhongzhou Futures in China said in a note.
“Concerns about demand for U.S. supplies also weighed on soybean futures amid intense competition in global markets.”
Argentine farmers have sold 15.2% of the country’s 44 million-tonne 2021/22 soybean crop in seven days since the government implemented a more favorable exchange rate for exports of the cash crop, the Rosario grains exchange said on Wednesday.
Argentina is the world’s top exporter of soybean oil and meal and the No. 3 for the raw grains.
Abiove, a trade group representing the oilseed crushers in Brazil, raised its soybean export forecast for this year by 200,000 tonnes from August to 77 million tonnes.
Traders were also awaiting four weeks of backlogged U.S. export sales data expected later in the day from the U.S. Department of Agriculture.
Analysts, meanwhile, said some “positive” developments in war-torn Ukraine, whose grains shipments have picked up following a U.N.-brokered export corridor deal, helped ease concerns about tight global supplies.
Traders, however, were cautious amid uncertainty about the impact of a railroads work stoppage in the United States and concerns about higher global interest rates which could slow down the world economy and dampen demand for commodities. (Reporting by Enrico Dela Cruz in Manila; Editing by Sherry Jacob-Phillips and Subhranshu Sahu)