Futures on soybeans in the United States rose by approximately 2% on Monday, bouncing back from a one-week low set on Friday as traders took positions ahead of the monthly crop reports expected to be released mid-week by the US Department of Agriculture. According to traders, supplies of oilseeds from the US have declined.

The rise in global vegetable oil markets led to an increase in soybean oil futures, further supporting the soy complex. Futures on Malaysian palm oil rose on favorable export and inventory data.

Corn futures followed a steady trend with soybeans, while wheat futures closed in the negative after a volatile session.

November soybeans on the Chicago Board of Trade (CBOT) increased by 27-3/4 cents to $13.45-1/2 per bushel, while benchmark soybeans in December rose by 2.48 cents per pound, or 4.25%, to 60.81 cents per pound.

CBOT December corn rose by 5 cents to $4.99-1/2 per bushel, while September wheat fell by 3-1/4 cents to $6.46-1/4 per bushel.

Traders are awaiting the US Department of Agriculture’s demand and supply reports on July 12, which are expected to see the government lower its forecast for US soybean production in 2023 following a sharp reduction in soybean acreage estimates last month. Most analysts also expect the USDA to lower its soybean yield forecast in the US.

Analysts anticipate the USDA to lower its corn yield estimate in the US, but the increase in corn planting area estimates released on June 30 should mitigate changes in yellow grain production.

Ahead of the weekly USDA crop condition report, which was scheduled to be published later on Monday, analysts surveyed by Reuters expected, on average, the government to rate 53% of the US corn crop in good to excellent condition, a 2-percentage-point increase from the previous week.

As for soybeans, analysts on average forecasted the USDA to rate 52% of the oilseed crop in good to excellent condition, also up 2 points from the previous week, following favorable rainfall in the Midwest growing belt that alleviated concerns over dry conditions impacting both crops.

CBOT wheat futures fell despite uncertainty surrounding the Black Sea export deal. The Kremlin stated on Monday that there was no new information regarding the deal. Strong exports of Russian wheat eased the market’s concerns over a potential closure of the export corridor from Ukraine.