Oct. 8 (Bloomberg) -- Corn declined the most in a week and soybeans fell on speculation that dry weather will advance U.S. harvesting, while rains improve soil moisture for planting crops in South America. Wheat dropped.
Mostly dry weather in the next six days and temperatures as much as 12 degrees Fahrenheit above normal will firm muddy soils to support harvesting equipment, after more than half of the Midwest received two times the normal rain in the past week, T- Storm Weather LLC in Chicago said in a report today. The corn harvest was 12 percent complete on Sept. 29, while soybean collection was 11 percent done, government data show.
“There will be clear weather for advancing harvesting activities the next week,” Roy Huckabay, an executive vice president for the Linn Group in Chicago, said in a telephone interview. “We will see more supplies begin to move into the pipeline.”
Corn futures for delivery in December fell 1.7 percent to settle at $4.4175 a bushel at 1:15 p.m. on the Chicago Board of Trade, the biggest drop since Sept. 30. The grain, down 37 percent this year, touched a three-year low at $4.35 on Oct. 2.
Soybean futures for delivery in November slid 0.6 percent to $12.8875 a bushel in Chicago after reaching $13.0575, the highest since Sept. 30.
Parts of central Argentina may get as much as 3 inches (7.6 centimeters) of rain during the next seven days and Brazil and Paraguay may receive 3 inches to 5 inches, QT Weather in Chicago said in a report today. Showers will replenish depleted soil moisture for planting corn and soybeans, the forecaster said. Brazil is the world’s biggest exporter of the oilseed, followed by the U.S., Argentina and Paraguay.
“Brazil and Argentina farmers will get their crops planted and off to a good start,” Huckabay said.
Wheat futures for delivery in December fell 0.2 percent to $6.935 a bushel, after touching a 15-week high at $6.9975.
The U.S. Department of Agriculture’s scheduled update of global supply and demand forecasts on Oct. 11 will be delayed by the government’s partial shutdown that began Oct. 1.
--Editors: Thomas Galatola, Patrick McKiernan