Johannesburg - South African soybeans fell to the lowest level in more than three weeks, tracking US prices that dropped yesterday on speculation Midwest rains will halt a decline in crop conditions.
Soybeans for delivery in December, the most active contract, dropped 0.8 percent to 5,595 rand ($569) a metric ton, the lowest since August 23, by the midday close on the South African Futures Exchange in Johannesburg.
Fields from North Dakota to Ohio got as much as 1 inch (2.5 centimeters) of rain in recent days, National Weather Service data show.
Showers will reach the southwestern Midwest through midweek, aiding a third of the soy crop, Commodity Weather Group said in a report.
“Soybeans can still get an advantage because of the rain in the past few days and in the coming days,” Thys Grobbelaar, an analyst at Klerksdorp, South Africa-based Senwes Ltd., said by phone today.
“This may result in better yields and we always follow the US market.”
Soybeans for delivery in November declined 2.4 percent yesterday on the Chicago Board of Trade.
The futures rebounded 1 percent to $13.615 a bushel today.
South African white corn for delivery in December gained 0.6 percent to 2,321.80 rand a ton, while the yellow variety for the same delivery month added 0.3 percent to 2,149 rand a ton.
A meal made from white corn is one of South Africa’s staple foods and yellow corn is mainly used as animal feed. - Bloomberg News