GRAINS-Soybeans and corn turn lower on ample supplies; wheat mixed
By Julie Ingwersen
CHICAGO, April 7 (Reuters) - U.S. soybean and corn futures retreated on Tuesday on reminders of ample supplies, brokers said, but strength in crude oil CLc1 underpinned the market as a standoff over the Strait of Hormuz threatened more escalation in the U.S.-Israeli war on Iran.
Wheat futures were mixed as forecasts for much-needed rain this week in the U.S. Plains hard wheat belt prompted traders to sell K.C. hard wheat futures and buy Chicago Board of Trade soft wheat futures on inter-market spreads.
As of 12:54 p.m. CDT (1754 GMT), CBOT May soybeans SK26 were down 8-3/4 cents at $11.58 per bushel and May corn CK26 was down 4-3/4 cents at $4.49-1/4 a bushel.
CBOT May soft wheat WK26 was up 3 cents at $5.98-1/4 a bushel while K.C. May hard wheat KWK26 was down 1/2 cent at $6.07-3/4 a bushel.
SOY PRODUCTS DRAG DOWN SOYBEANS
Soybeans were pressured by declines in soymeal and soyoil futures. CBOT May soymeal SMK26 was down about 1.6% and hit its lowest level in nearly three weeks as an aggressive U.S. soybean crushing pace generated ample supplies of soy products, including meal and oil.
"It's apparent that we are crushing for bean oil, and we are just creating excessive meal stocks," said Tom Fritz, a partner with EFG Group in Chicago.
CBOT soyoil futures also sagged, turning lower after the benchmark May contract BOK26 set a life-of-contract high at 70.49 cents per pound.
Corn futures eased, with the nearby May and July CN26 contracts at times falling more than new-crop December corn CZ26 on spreads, a sign of soft cash markets amid plentiful U.S. and global stocks.
"We've got great demand, but the spreads are telling us that we've got more than enough corn to meet that demand," Fritz said.
CBOT wheat fell for a second day as forecasts of rain this week in a swathe of the U.S. Plains tempered concerns about drought stress to crops. The prospect of timely moisture muted the impact of lower-than-expected U.S. wheat condition ratings.
In its first weekly crop progress report of the 2026 growing season, the USDA on Monday rated just 35% of the winter wheat crop in good-to-excellent condition, a three-year low.
Corn planting was under way, with 3% of the expected area planted, the USDA also said.
Price moves were moderate as investors awaited Iran war developments, while crop traders were also looking ahead to a monthly U.S. Department of Agriculture crop report on Thursday.
