At 9:47 am (Brasilia time) this Monday (27), the August soybean contract traded on Chicago Stock Exchange (CBOT) The Brazilian futures contract registered a significant drop of 31.75 points and 2.54%, quoted at US$ cents 1,216.25/bushel. The September contract fell 32.50 points and 2.62%, to US$ cents 1,207.75/bushel. In the case of derivatives, the oil and the bran They depreciated by 1.82% and 2.02%, respectively.

Corn

The July corn contract traded on CBOT The futures contract fell 13.50 points and 2.85%, trading at US$ cents 451.00/bushel. The September contract lost 14.00 points and 2.87%, at US$ cents 473.50/bushel.

Wheat

The July wheat futures contract traded in Chicago It was down 4.25 points and 0.63%, trading at US$ cents 673.75/bushel. Kansas City Bank Exchange (KCBT)Meanwhile, the grain was down 5.50 points and 0.74%, at US$ cents 739.75/bushel.

Market fundamentals

This morning, prices were pressured by profit-taking, given the significant gains in soybeans and corn last week, as market participants reacted to the fall in international oil prices. According to press reports, US military officials told President Donald Trump to suspend his bombing campaign while negotiations between the two countries continue. In response, Iran suspended retaliatory attacks against US allies in the region. With the reduction of geopolitical tensions, international oil prices were falling sharply, reducing the competitiveness of biofuels made from oilseeds and grains. However, investors remain focused on rising temperatures in the Corn Belt region, which encompasses US soybean and corn crops. According to the National Weather Service (NWS), extreme heat alerts and warnings have been issued from the Canadian border to the Gulf Coast, as the heat wave in the US Corn Belt persists. Heat indices in eastern Iowa and western Illinois will reach approximately 46°C this afternoon, the agency reported. Temperatures above 40°C are also expected in the Great Plains, where wheat crops are grown. Some of the grain losses were limited by attacks from Russia and Ukraine on grain infrastructure and ships, which continued to disrupt cargo flows, threatening supplies for importers in the Middle East, Africa, and Asia. Later, the U.S. Department of Agriculture (USDA) will report weekly shipping data, as well as updates on crop conditions and stages in the United States.

This text was translated by machine from Brazilian Portuguese.