Soybeans reached a two-week high in Chicago on concern that planting delays in South America may curb production. Wheat advanced on the worst U.S. winter-crop conditions in at least 27 years.
Soybeans declined for the first time in three days on speculation rains in parts of Brazil may improve planting prospects in the world’s largest grower and exporter after drought cut the output in the U.S.
Wheat advanced for the first time in five days on concern that global supplies will tighten as dry weather reduces crops from Australia to eastern Europe while demand increases in north Africa.
Soybeans fell for a third session in Chicago as rains forecast for this week in South America may help improve growing conditions. Wheat and corn rose.
Soybeans fell for a fourth day in Chicago on dry weather in Brazil and rain in Argentina that is likely to improve planting conditions for the oilseed.
The global sugar glut is extending into a third year, the longest stretch in more than a decade, as Brazil and Australia expand output and imports contract to the smallest since 2008.
Australia, the world’s second- biggest wheat exporter, lowered its output forecast as dry weather delayed plantings, deepening global supply cuts caused by droughts from Russia to the U.S.
Australia suspended live cattle exports to Indonesia, its biggest market, for as long as six months on concern animals are being tortured.
World food prices will drop this year as increases in unemployment in developing and developed countries slows growth in demand, the United Nations said.
Australia, the fourth-biggest wheat exporter, is set for its second straight bumper harvest as rains in the west boost crops, helping curb global food costs.
"The world is watching the South American corn and soybean crops at the moment."
- Michael Creed on Nov 26, 2012