Soybeans climbed for a second day on expectations supply may remain constrained through the next two months before Brazilian crops reach markets. Corn and wheat rose. Soybeans for March delivery advanced as much as 0.8 percent to $14.4125 a bushel on the Chicago Board of Trade and were at $14.355 by 2:07 p.m. in Singapore. The most-active contract lost 4.2 percent last week, the first drop in five. Wheat and soybeans led gains on the Standard & Poor’s GSCI Index of 24 commodities this year, driven by supply concerns after U.S. farmers endured the worst drought since the 1930s. Demand for grains will be “resilient,� Hussein Allidina, commodity research head at Morgan Stanley in New York, wrote in a Dec. 6 report. “What will be of sizeable concern is that crops are so large and there will be some logistic constraint,� said Victor Thianpiriya, an analyst at Australia & New Zealand Banking Group Ltd. in Singapore, said by phone today. “In January and February the supply balance sheet is going to remain tight.� Brazil’s Parana state, the country’s second-biggest soybean grower, raised the outlook for its main harvest of the oilseed and predicted a record late-season corn crop on increased planting. The Latin American nation is expected to overtake the U.S. as top soybean grower in the 2012-2013 season. Brazilian crops will arrive in the markets around March, Thianpiriya said. Corn for March delivery increased 0.4 percent to $7.045 a bushel, set for a 6.4 percent drop this month, which would be a fifth consecutive loss. Corn, which surged to a record in August, has advanced 9 percent this year. Wheat for March delivery rose 0.4 percent to $7.9525 a bushel, poised for a 7.9 percent monthly drop. To contact the reporter on this story: Chanyaporn Chanjaroen in Singapore at cchanjaroen@bloomberg.net. To contact the editor responsible for this story: Jarrett Banks at jbanks15@bloomberg.net

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