Chicago grains extend fall after USDA data; soybeans below $10

By Gus Trompiz and Naveen Thukral

Chicago soybean, corn and wheat futures extended losses on Wednesday to new multi-week lows, with soybeans dropping below the psychological $10 threshold, after U.S. grain data underscored ample supply at a time of stalled Chinese demand.

The most-active soybean contract on the Chicago Board of Trade ZS1! was down 0.6% at $9.96-1/4 a bushel as of 1058 GMT, after slipping below the $10 mark for the first time in seven weeks.

CBOT corn ZC1! gave up 0.5% to $4.13-1/4 a bushel, after reaching its weakest since August 29.

CBOT wheat ZW1! was 0.8% off at $5.03-3/4 a bushel, after reaching its lowest since August 14, when the benchmark set a five-year low.

The U.S. Department of Agriculture's widely tracked quarterly U.S. grain stocks estimates released on Tuesday weighed on prices by showing higher corn and wheat inventories than anticipated on average by analysts.

While the soybean stocks estimate was slightly below the market consensus, the oilseed market faced spillover pressure from the cereal numbers.

Soybean prices have been dampened in the past week by concern over China shunning U.S. supplies in favour of imports from South America, just as the U.S. new crop is being harvested.

"We don't see a recovery in soybean prices as long as China remains out of the U.S. market," said one oilseed trader in Singapore.

China booked a large volume of Argentine soybeans last week during a brief export tax waiver decreed by Buenos Aires, according to traders.

For wheat, a separate USDA report estimating 2025 U.S. wheat production above market expectations reinforced the focus on swelling global supply.

"This adds to recent upward revisions in major exporters including the EU, Russia, Australia, Canada and Argentina," commodity data firm CM Navigator said in a note.

Grain markets may be left without further USDA data in the coming days after a U.S. government shutdown started on Wednesday, amid political deadlock over short-term funding measures.