CBOT soybeans rose due to declining crop conditions, short covering

Gold Ten Futures, August 28, Chicago Board of Trade (CBOT) soybean futures closed higher on Tuesday, with the base period closing about 0.6% higher, mainly due to the decline in soybean crop conditions, heat wave weather in the Midwest, and active short covering. Heatwaves in much of the Midwest and lack of rainfall could damage soybeans at a critical growth stage, with industry insiders questioning whether soybean yields can reach record levels. One analyst said the market began to worry about soybean yield potential as Iowa and surrounding areas hit high temperatures. Although the annual export sales volume in 2024/25 is lower than the average of the past few years, the improvement in export demand may provide some support to prices. Investors are weighing reports that China bought two shipments of soybeans from the United States and one shipment of soybeans from Brazil.