US soybean futures on the Chicago Board of Trade fell 3.5 percent on Monday, pressured by nonthreatening Midwest crop weather, a stronger dollar and spillover selling from other commodities, traders said. US crop growing conditions nearly ideal. Warmer weather and scattered showers boost crop development - DTN Meteorlogix weather service.
Selling escalated in July soybeans when the contract dipped below its 10- and 20-day moving averages ($12.03-1/4 to $12.15-1/2, respectively). July ended 43 cents lower at $12 per bushel. New-crop November closed 43 down at $9.63. July soymeal closed $10 lower at $401.20, December ended $13.70 lower at $301.
July soyoil ended 0.89 cent weaker at 34.29 cents per lb, December closed 0.92 weaker at 35.10 cents. Commodity funds sold 3,000 soybean contracts, 1,000 soymeal and 1,000 soyoil - traders. After CBOT closed, USDA reported 66 percent of US soybeans good to excellent - down from 68 percent a week ago.
Traders expected conditions to remain steady or improve slightly, but crop still in better shape than a year ago when 59 percent was rated good to excellent. The dollar climbed on eroding optimism about an improvement in the global economy, prompting investors to shun risk and buy safe-haven currencies. Stronger dollar raises the costs of US soybeans to overseas buyers.
Soy fell despite tight supply of physical soybeans and talk that China was shopping for one to two US soy cargoes off the Pacific Northwest. Thin supplies underscored by no July soybean or soymeal deliveries posted since start of delivery period on June 30. USDA said 14.1 million bushels of soybeans inspected for export last week, topping forecasts for 10.0 million to 13.0 million. July soyoil deliveries large at 3,910 contracts.