GRAINS-Soybeans fall on potential Trump-Xi meeting delay, wheat and corn also drop

By Renee Hickman

CHICAGO, March 16 (Reuters) - Chicago soybeans experienced their biggest daily drop since 2023, falling to their daily limit on Monday after hitting near two-year highs last week as a potential delay to U.S. President Donald Trump's meeting with Chinese President Xi Jinping later in March dampened hopes of more U.S. soybean sales to China.

Chicago wheat and corn also fell.

Chicago Board of Trade most-active soybeans Sv1 fell 70 cents to end at $11.55-1/4 a bushel. Wheat Wv1 settled down 16-1/2 cents to $5.97-1/4 a bushel and corn Cv1 fell down 13-1/4 cents to finish at $4.54 a bushel.

The Chicago Mercantile Exchange (CME) expanded its daily limits for Tuesday's trade.

Trump said on Sunday that he could delay his summit with China's president later this month as he presses Beijing to help unblock the Strait of Hormuz.

"If you have a delayed summit, you have a delayed trade agreement," said Arlan Suderman, chief commodities economist at Stonex.

"And when things get delayed, the opportunity is always there for something to fall apart," Suderman said.

U.S. and Chinese officials held talks in Paris on Sunday that were said to be "remarkably stable," with China reportedly remaining committed to buying more U.S. soybeans under the October 2025 U.S.-China trade truce.

And, Suderman noted, Brazil is changing its inspection requirements for soybean cargoes bound for China, which will likely open the door to a freer flow of the oilseed into the world's largest soybean buyer.

Chicago corn and wheat also fell on the talk of a delayed summit, as well as a higher stock market, which Suderman said was drawing the flow of money into equities and out of commodities.

Kansas City wheat KWv1 found some support, as damaging cold weather hit the U.S. Southern Plains Sunday night. "You tend to get worse damage in these freezes when the soils are dry and unable to transfer warmth up from below," Suderman said.

Suderman added that some locations in the Southern Plains could see much higher temperatures this week, putting additional stress on the winter wheat crop.