It was a crazy half-hour for grain-market watchers at the close of Tuesday’s trading session. The May contract for soybeans, which had reached a new 15-year high earlier in the day, fell 50 cents off that high late in the day.
Beans finished the session down 29 cents at $9.28 and a half cents per bushel. Commodities broker Paul Bates in Normal says the market was due for some profit taking, and he says a rumor late in the session that China had canceled some import plans was enough to trigger the plunge.
Bates says the market may be correcting its oversold condition, but he says he's still optimistic that prices will stay up. He says the world's soybean supply is tight and could get tighter if the South American harvest comes in smaller than anticipated.
May soybeans were fractionally higher Wednesday in early trading on the Chicago Board of Trade.