Soybeans fall second day on Brazilian crop outlook

AP News
Posted: Mar 13, 2013 5:40 PM

Soybeans are falling for a second day on expectations that Brazil will reap a bumper harvest.

May soybeans fell 21.75 cents, or 1.5 percent, to $14.47 a bushel. The drop Wednesday was the biggest this month and follows a 0.7 percent decline a day earlier.

"We had high expectations for the Brazilian crop, and they are being fulfilled," said Sterling Smith, a commodities strategist at Citigroup.

Almost half of the crop in Brazil has been harvested and the South American nation may surpass the U.S. this year as the world's largest producer of the bean, Smith said. The U.S. doesn't harvest its beans until later in the year.

In grain trading, corn futures also fell, dropping 4 cents, or 0.6 percent, to $7.1025 a bushel. Wheat gained 6.5 cents, or 0.9 percent, to $7.10 a bushel.

Metals all declined, with copper logging the biggest drop.

Copper for May delivery fell 2.95 cents to $3.5250 a pound. Silver for the same month fell 21.30 cents to $28.9580 an ounce.

Gold for April delivery fell $3.30 to $1,588.40 an ounce. Palladium for June delivery dropped $4.25 to $771.25 an ounce. Platinum for April delivery fell $1.90 to $1,593.10 an ounce.

The price of oil was little changed as rising U.S. supplies offset a strong report on U.S. consumer spending that pointed to growing demand for oil and gas in a strengthening economy.

Benchmark oil for April delivery fell 2 cents to close $92.52. It was the first decline in the last five trading days.

Wholesale gasoline fell 0.8 cents to $3.1423 a gallon. Heating oil fell 2.42 cents to $2.9242 a gallon.

Natural gas rose 3.5 cents to $3.68 per 1,000 cubic feet.