Soy hits seven-month high due to optimism in US exports, dry weather

By Christopher Walljasper

CHICAGO, Aug 19 (.) – Soybean futures on the Chicago Stock Exchange rose to a seven-month high on Wednesday on optimism about U.S. exports and concerns that dry weather in parts of the Midwest the country, operators said.

* Corn posted a slight decline, as a tour to review crop status in the Midwest estimated higher yields, offsetting concerns about storm damage in Iowa.

* The most active soybean contract on the Chicago Stock Exchange gained 0.25 cents at $ 9.14 a bushel, after hitting its highest level since Jan. 22 at $ 9.1950.

* Corn in Chicago fell 2 cents to $ 3.3975 per bushel, while wheat gained 4.5 cents to $ 5.22 per bushel.

* Exporters reported that they sold 192,000 tonnes of U.S. soybeans for delivery to China during the 2020/2021 marketing year, the Department of Agriculture said on Wednesday, after the White House chief of staff said there were no new trade talks scheduled with China.

* “We’ve had a big increase in Chinese purchases of American grains,” said David Hightower, president of Hightower Report. “China doesn’t buy unless the price is right.”

* Observers from the Pro Farmer Midwest Crop Tour said soybean crops in parts of Nebraska and Indiana may need more rainfall to reach their maximum yields.

* “We’re going to keep prices propped up until we know if these dry places are going to get any rain,” Hightower said.

* Observers saw strong corn yield prospects in Ohio and South Dakota and above-average crop potential in Nebraska and Indiana, drawing attention to a potential heavy harvest. Last week, storm damage in Iowa, the top corn-producing state, threatened crop prospects.

(Reporting by Christopher Walljasper; Additional reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Edited in Spanish by Ricardo Figueroa)