Grains mixed; soybeans hit 4-week low on Brazil crop prospects

Investing.com - U.S. grain futures were mixed on Thursday, with soybean prices hitting a four-week low amid ongoing expectations for bumper crops in major South American soy growers.

On the Chicago Mercantile Exchange, soybeans futures for March delivery inched down 0.35% to trade at USD12.6463 a bushel during U.S. morning trade, down 0.35%.

Prices of the oilseed fell to a session low of USD12.6263 a bushel, the weakest level since January 2.

The March soy contract ended Wednesday’s session down 1.26% to settle at USD12.6920 a bushel.

The U.S. Department of Agriculture’s attache in Brazil estimated the country’s soybean production at 89.5 million tonnes, above the USDA's official forecast of 89 million and up sharply from 81.6 million tonnes last year.

Meanwhile, in Argentina, recent rains in hot and dry areas of the country have boosted the outlook for soybean output.

Brazil and Argentina are major soy exporters and compete with the U.S. for business on the global market. Favorable crop prospects in these countries could decrease demand for U.S. supplies.

Elsewhere on the CBOT, corn futures for March delivery traded at USD4.2888 a bushel, up 0.2%. The March contract traded in a range between USD4.2738 a bushel and USD4.2888 a bushel.

CBOT March corn fell 1.04% on Wednesday to settle at USD4.2740 a bushel.

Meanwhile, wheat for March delivery traded at USD5.5438 a bushel, up 0.5%. Wheat prices traded in a range between USD5.5188 a bushel and USD5.5488 a bushel.

The March wheat contract tumbled to USD5.5040 a bushel on Wednesday, the lowest since July 2010, before trimming losses to settle at USD5.5140 a bushel, down 2.56%.

Wheat prices have been under heavy selling pressure in recent sessions as increased global production underlined concerns over ample supplies.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.