La Nina may hurt soybean crops in the U.S., the largest exporter, and South America, should it cause a “severe” drought between early August and February, likely curbing yields, Telvent DTN Inc. said. The price of the oilseed had the first gain in five sessions.
The drought that ravaged U.S. corn and soybean crops and spurred record prices may persist, threatening a recovery in production this year that’s needed to bolster global inventories, according to forecasters.
China, the second-largest corn consumer, may miss an output target of 168 million metric tons in the year beginning October if dry weather persists in the central and northeastern growing areas, Telvent DTN Inc. said. Futures snapped four days of losses.
Corn futures advanced in Chicago for the first time this week on concern China, the world’s second-largest consumer, may miss an output forecast, potentially boosting imports. Wheat and soybeans also gained.