Commodities

GRAINS-Soybeans fall to 10-month low on stronger U.S. dollar

Credit: REUTERS/DANIEL ACKER

Chicago soybean futures fell for a third consecutive session on Tuesday to hit their lowest level in 10 months, as a stronger U.S. dollar dented export prospects.

CANBERRA, Oct 12 (Reuters) - Chicago soybean futures fell for a third consecutive session on Tuesday to hit their lowest level in 10 months, as a stronger U.S. dollar dented export prospects.

FUNDAMENTALS

* The most active soybean futures on the Chicago Board Of Trade Sv1 were down 0.2% to $12.25-3/4 a bushel by 0102 GMT, near the session low of $12.25-1/2 a bushel - the weakest level since December 2020. Soybeans closed down 1.2% on Monday.

* The most active corn futures Cv1 were down 0.1% at $5.32-1/2 a bushel, having gained 0.5% in the previous session.

* The most active wheat futures Wv1 were down 0.1% at $7.30-1/4 a bushel, having closed down 0.3% on Monday.

* The U.S. corn harvest was 29% complete as of Sunday, the U.S. Department of Agriculture (USDA) said in a weekly crop progress report on Monday, ahead of the five-year average of 22% and matching the average estimate in a Reuters analyst poll.

* The U.S. soybean crop was 34% harvested, the USDA said, ahead of the five-year average of 26% and the average analyst estimate of 32%.

* Sovecon, a leading Black Sea agricultural markets research firm, on Monday cut its 2021 estimates for Ukraine's corn crop and Russia's wheat crop.

* Investors wait for the USDA's production forecast on Tuesday.

MARKET NEWS

* The dollar rose on Monday as surging energy prices prompted investors to seek safe havens, with the greenback hitting a nearly three-year high against the yen on expectations the U.S. Federal Reserve will announce a tapering of its bond purchases next month. USD/

* Oil prices jumped on Monday to the highest levels in years, fuelled by rebounding global demand that has contributed to power and gas shortages in key economies like China. O/R

* U.S. shares fell on Monday, having whip-sawed between gains and losses as soaring oil prices that hit multi-year peaks stoked fears about rising prices and tighter monetary policy, lifting the dollar to a near-three-year high against the yen. .N

(Reporting by Colin Packham; Editing by Subhranshu Sahu)

((colin.packham@thomsonreuters.com; +61-2 9321 8161; Reuters Messaging: colin.packham.thomsonreuters.com@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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