Chicago | Reuters — U.S. soybean futures on Thursday extended a setback from a 17-month high reached this week, as confirmation of more Chinese purchases of American supplies failed to spark a new rally.
The U.S. Department of Agriculture reported that China bought 462,000 metric tons of U.S. soybeans in the agency’s third consecutive daily soybean sales announcement. So far this week, the USDA has confirmed soybean sales to China totaling more than 1.5 million metric tons. The agency also reported that China bought 132,000 metric tons of U.S. white wheat on Thursday.
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Last month, U.S. officials said China would buy 12 million metric tons of American soybeans by the end of the year as part of a trade truce between U.S. President Donald Trump and Chinese leader Xi Jinping. China’s purchases would need to continue at a rapid pace to meet that target, analysts said.
“It’s got to close the gap to that 12 million and probably do it pretty fast to get traders excited,” said Matt Wiegand, commodity broker for FuturesOne in Nebraska.
Most-active soybean futures Sv1 fell 13-3/4 cents to $11.22-1/2 per bushel on the Chicago Board of Trade. The contract has backpedaled since reaching $11.69-1/2 on Tuesday, its highest since June 2024.
The U.S. faces competition for global export sales from cheaper soybeans in Brazil, analysts said.
“Bullish news that China is buying may not be enough if volumes fall short of expectations,” CM Navigator analyst Donatas Jankauskas said in a note.
Corn, wheat prices fall
Grain futures also weakened, with CBOT March corn CH26 falling 3-3/4 cents to $4.37-3/4 per bushel. CBOT March wheat WH26 dropped 8-3/4 cents to $5.40-3/4 per bushel.
The International Grains Council raised its forecasts for global wheat and corn production, while a rally in the dollar index capped demand for U.S. crops by making them look more expensive for overseas buyers.
Saudi Arabia’s state grains buying agency said it issued an international tender to purchase around 300,000 metric tons of hard milling wheat.
The wheat market has also been monitoring reports of a new U.S. plan to end the war between Russia and Ukraine, both major grain exporters through the Black Sea.
— Reporting by Tom Polansek in Chicago, Gus Trompiz in Paris and Peter Hobson in Canberra.
