Chicago soybean futures slide on higher global stocks forecast

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NEW DELHI — Chicago soybean futures

lost more ground on Monday, weighed down by a U.S. forecast of

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higher global ending inventories, even as robust export demand

and concerns over weather in South America lent support.

FUNDAMENTALS

* The most-active soybean contract on the Chicago Board of Trade

(CBOT) slid 0.8% to $14.71-1/4 a bushel, as of 0202 GMT,

wheat climbed 0.8% to $7.40-1/2 a bushel, and corn

was almost unchanged at $6.45-1/2 a bushel.

* The U.S. Department of Agriculture (USDA) increased its

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estimate of global soybean ending stocks.

* Soybeans slid despite support from higher export demand and

dry weather conditions in top producer Argentina. But recent

rains could help the early South American crop.

* Growers in Argentina are unwilling to sell old crops as they

try to gauge the outcome of the new season harvest, impeding

soybean exports from Argentina.

* Argentina’s estimated area for 2022/23 soybeans could be cut

due to the effects of prolonged drought in the region, according

to the Buenos Aires Grains Exchange.

* Belarus told the United Nations on Friday that it would

accept, without preconditions, the transit of Ukrainian grains

through its territory for export from Lithuanian ports.

* The Ukrainian port of Odesa was not operating on Sunday after

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the latest Russian attack on the region’s energy system,

Agriculture Minister Mykola Solsky said, but added that grains

traders were not expected to suspend exports.

* Turkish President Tayyip Erdogan discussed the Black Sea grain

export agreement on Sunday with the leaders of Russia and

Ukraine, as both sides seek changes that would boost their

exports.

* Ukrainian President Volodymyr Zelenskiy held talks with U.S.

President Joe Biden and with the leaders of Turkey and France on

Sunday, an increase in diplomatic activity around the war

started by Russia that is dragging into a 10th month.

* Commodity funds were net buyers of Chicago Board of Trade corn

and soymeal futures contracts on Friday and net sellers of

wheat, soyoil and soybean futures, traders said.

MARKET NEWS

* Asian shares dipped while the dollar drifted higher at the

start of a hectic week, as markets awaited a flurry of rate

decisions from the U.S. Federal Reserve, the European Central

Bank and others.

(Reporting by Mayank Bhardwaj; Editing by Subhranshu Sahu)