U.S. grain and soybean futures fell on profit-taking on Wednesday, traders said, erasing some of this week's gains that were driven by hopes for increased Chinese buying.
Corn and soy also pulled back on expectations for favorable U.S. planting conditions in the Midwest.
China committed to purchasing at least $17 billion of U.S. agricultural products in 2026, 2027 and 2028, the White House said on Sunday, after Presidents Donald Trump and Xi Jinping met in Beijing.
Traders were waiting for details and information on which commodities would be affected by potential purchases by China, the world's biggest soybean importer.
"While the meeting in China didn't mention more beans being sold, the market perceived the meeting as bullish," said Matt Bennett, CEO of AgMarket.Net, in a note.
The most active soybean contract on the Chicago Board of Trade (CBOT) was down 11 cents at $11.98-1/2 a bushel by 11:05 a.m. CDT (1605 GMT).The market rose on Monday and early on Tuesday on expectations for more Chinese demand, before ending lower on Tuesday.
Corn futures dropped 12 cents to $4.634-1/4 a bushel, while wheat futures fell 8 cents to $6.59-1/4 a bushel.
China resumed purchases of some U.S. farm goods after an October meeting, fulfilling a U.S.-stated commitment to buy 12 million tons of soybeans by the end of February. It has also purchased some U.S. wheat cargoes and large volumes of sorghum.
In April, China's soybean imports from the United States more than doubled from a year earlier, as cargoes booked after Beijing resumed purchases late last year gradually arrived at Chinese ports.
China imported 3.33 million metric tons of soybeans from the U.S. in April, Chinese government data showed on Wednesday. Soybean imports from Brazil, the world's biggest supplier, rose 3.3% year on year to 4.75 million tons.
Oil prices were down, with U.S. crude off by more than 5%. That also weighed on agricultural markets, traders said, after Trump said that negotiations with Iran were in the final stages without offering details. Oil prices can influence grain markets because biofuels are made from crops.
(Reuters)
