The price of soybean futures gained value on Wednesday as a U.S. government report projected sowing for the upcoming season will minimally change, according to Bloomberg.
Also driving up the price of soybean futures is a drought minimizing the South American harvest, which cuts down on prospects for the worldwide supply. Rabobank International forecasts U.S. growers of soybeans will plant 75.2 acres, which is a very slight change from the past year.
"We expect that lower South American production, limited U.S. acreage gain and increased imports by China will bring the 2012-13 U.S. soybean balance into a deficit and support soybean prices over corn prices over the next 12 months," states a Wednesday report authored by Goldman Sachs Group.
At 2:14 p.m. on Wednesday, soybean futures slipped 0.05 percent, a 0.75 cent slide to $13.69 per bushel.
The Des Moines Register reports the grain has performed quite strongly this year, having risen 22 percent since the beginning of the year. Chinese demand for the grain remains high while Brazil's crop is contracting because of dry and hot weather conditions.
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