Chicago Board of Trade soyabeans retreated on Wednesday from a six-week high on prospects for a Brazilian truck drivers' strike to end soon, a situation that has threatened exports just as the country's massive soyabean crop is entering world markets. CBOT wheat fell as US wheat remained too pricey in world markets and continued to miss out on big tenders. The exception was Egypt buying 290,000 tonnes of US wheat on Tuesday, but the purchase was financed with US credit.
Corn was also weak on Wednesday, with volatile currency markets continuing to keep traders on their toes. The US dollar softened a bit but remained near an 11-year high, making American grain less price competitive. In Ukraine, a leading grain exporter, the central bank halted commercial currency trading until week's end after its currency collapsed. "The fact the Brazilian port of Santos was reopened is a sign that both sides are actively working to making something happen," said Joe Lardy, a grains market analyst with CHS Hedging.
Governmental officials are meeting with Brazilian truckers protesting high fuel prices, who have blocked roads and disrupted grain movement the past week, at 11 am CT (1700 GMT) on Wednesday. "With the offer of the government to negotiate, the situation seems to be improving," said Dan Basse, head of consultancy AgResource, noting that six Brazilian states are now imposing hefty fines to protesters and allowing federal police to clear roads.
Chicago Board of Trade March soyabeans fell 1 cent, 0.1 percent, to $10.15 a bushel by 10:40 am CT (1640 GMT). Chicago March wheat was down 7-1/2 cents, or 1.5 percent at $4.98-1/4. March corn fell 3-1/2 cents, down 0.9 percent to $3.74 a bushel.