Soybean and corn prices rise on the Chicago Stock Exchange | Quotes

Grain prices followed directions set on the Chicago Stock Exchange this Wednesday (1/5). Soybeans and corn advanced in the session, while wheat depreciated. With the Labor Day holiday in Brazil and other parts of the world, the market lost some liquidity, thus predominating technical adjustments in futures contracts.

This movement led to the closure of soybeans. Lots for delivery in July rose 0.62%, quoted at US$ 11.7025 per bushel. For Luiz Pacheco, analyst at T&F Consultoria Agroeconomic, only a technical correction supports an increase in soybeans, as the fundamentals of supply and demand have not changed.

“Soybeans will not rise in the short term, unless there is a very serious drought problem in US crops. But, at this moment, all fundamentals point to a decline. In the last three years, stocks in the country have only increased, and the Americans will still increase the area planted with grain in this 2024/25 harvest”.

In terms of soybean production, Pacheco highlights the good expectations for the harvest in Brazil and other regions.

“The supply and demand situation is very loose. There will be a surplus of soy in Brazil and the world, proof of this are the negative premiums in Brazilian and Argentine ports”, he adds.

Wheat

Wheat fell on the US stock market, with investors pocketing profits after prices rose 5% last month. Cereal shares for July closed down 0.66%, to US$ 5.9925 a bushel.

Luiz Pacheco highlights that today’s closing was guided by a technical adjustment by investors. However, he believes that wheat could rise again if there is a worsening in weather conditions for crops in the USA and also in Russia.

“The rains that fell recently only benefited a few American states, and are still not enough to reverse the moisture deficit. I see wheat currently showing a slight upward trend, which could be boosted if rainfall is insufficient”, he highlights.

Corn

Just as happened in the soybean business, corn advanced in the international market, driven by technical issues. Cereal contracts for July ended the session up 0.90%, at US$4.5075 a bushel.

The outlook for rain in American producing areas has improved in recent days, a factor that leaves little room for corn valuations. Furthermore, supply projections remain optimistic, and combined with demand that is still less than ideal, they should keep prices at very low levels in Chicago.