Investing.com – Soybean futures advanced on Tuesday, climbing to a two-day high as concerns over deteriorating U.S. crop conditions boosted prices, which were also supported by a weaker U.S. dollar.
On the Chicago Mercantile Exchange, soybean futures for September delivery traded at USD13.7138 a bushel during European morning trade, gaining 0.6%.
It earlier rose as much as 0.85% to trade at USD13.7550 a bushel, the highest price since July 22.
Extreme heat conditions in key U.S. soybean-growing states over the past week hindered harvesting of U.S. soybean crops, potentially threatening yields and reducing the quality of the harvest.
The U.S. Department of Agriculture said in its weekly crop progress report published Monday that the amount of U.S. soybean crops rated in ‘good’ to ‘excellent’ condition in the week ended July 24 fell to 62% from 64% a week earlier. The five-year average for this time of year is 67%.
Nearly 11% of the soybean crop was in ‘poor’ to ‘very poor’ condition, the highest for this time of year since the 2008-09 season and up from 10% a week earlier.
The report showed that 60% of the U.S. soybean crop had bloomed as of last week, compared to 73% in the same week a year earlier and below the five-year average of 68%.
The U.S. is both the world’s largest soybean producing nation and the world’s largest exporter of the grain.
Meanwhile, the U.S. dollar came under broad selling pressure amid worries over a lack of progress in talks to raise the country’s USD14.3 trillion debt ceiling before the August 2 deadline.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.67% to trade at 73.81, after falling earlier to 73.69, the lowest since May 5.
A weaker dollar boosts the appeal of U.S. crops to overseas buyers and makes commodities more attractive as an alternative investment.
Elsewhere on the Chicago Mercantile Exchange, corn for September delivery rose 0.6% to trade at USD6.8188 a bushel, while wheat for September delivery added 0.45% to trade at USD6.9250 a bushel.
On the Chicago Mercantile Exchange, soybean futures for September delivery traded at USD13.7138 a bushel during European morning trade, gaining 0.6%.
It earlier rose as much as 0.85% to trade at USD13.7550 a bushel, the highest price since July 22.
Extreme heat conditions in key U.S. soybean-growing states over the past week hindered harvesting of U.S. soybean crops, potentially threatening yields and reducing the quality of the harvest.
The U.S. Department of Agriculture said in its weekly crop progress report published Monday that the amount of U.S. soybean crops rated in ‘good’ to ‘excellent’ condition in the week ended July 24 fell to 62% from 64% a week earlier. The five-year average for this time of year is 67%.
Nearly 11% of the soybean crop was in ‘poor’ to ‘very poor’ condition, the highest for this time of year since the 2008-09 season and up from 10% a week earlier.
The report showed that 60% of the U.S. soybean crop had bloomed as of last week, compared to 73% in the same week a year earlier and below the five-year average of 68%.
The U.S. is both the world’s largest soybean producing nation and the world’s largest exporter of the grain.
Meanwhile, the U.S. dollar came under broad selling pressure amid worries over a lack of progress in talks to raise the country’s USD14.3 trillion debt ceiling before the August 2 deadline.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.67% to trade at 73.81, after falling earlier to 73.69, the lowest since May 5.
A weaker dollar boosts the appeal of U.S. crops to overseas buyers and makes commodities more attractive as an alternative investment.
Elsewhere on the Chicago Mercantile Exchange, corn for September delivery rose 0.6% to trade at USD6.8188 a bushel, while wheat for September delivery added 0.45% to trade at USD6.9250 a bushel.