Soybean futures: Extended gains to $16 a bushel, the highest since May amid supply concerns from the world’s largest exporters of processed soy.
Argentina and Brazil, have been facing this season hot and dry conditions hitting the quality and quantity of crops. As a result, the latest USDA monthly crop report pegged Brazil’s soy crop at 134 million tonnes, down from 139 million in January, and Argentina’s soy crop at 45 million, down from 46.5 million.
The report also pointed to smaller US soybean supplies amid rising demand from the crushing industry. Meanwhile, Brazil is expected to export 7.5 million tonnes of soybeans in February, down from 9.923 million tonnes projected the week prior by farm consultancy ANEC.