Chicago corn falls on improving weather prospects ahead of govt report

Chicago corn fell on Thursday (June 30), weighed down by increased chances of rain in growing areas in the US.

Wheat and soybeans also fell.

Traders were also watching a government crop report on Thursday and adjusted their positions ahead of it.

The most-active corn contract on the Chicago Board of Trade (CBOT) fell 0.42% to US$6.51 (about RM28.69) a bushel.

Wheat fell 0.59% to US$9.24-3/4 a bushel and soybeans edged down 0.02% to US$17.48 a bushel.

Traders expect the US Department of Agriculture (USDA) to raise its estimate of domestic corn plantings in its acreage and stocks report to be released on Thursday. The USDA is also expected to cut its estimates of soybean and spring wheat planting acreage in the report.

Egypt’s state grains buyer, the General Authority for Supply Commodities, bought 815,000 tonnes of mainly French wheat in a tender, marking its biggest single purchase in years as prices slightly ease.

Argentina’s major farm groups called for a trade strike to pressure the government to do more as frustration over crippling shortages of diesel and fertilisers weighs on the country’s key agricultural sector.

The US soybean crush likely totalled 5.457 million short tons in May, or 181.9 million bushels which would be above the 180.9 million bushels processed in April and up from the 173.5 million bushels crushed in the same month last year.

A truck driver protest in Argentina was slashing the number of freight vehicles carrying grains to the country’s main port on Wednesday, threatening exports and milling.

Brazil 2021/2022 total corn crop was seen at 116.1 million tonnes, versus 114.35 million tonnes in the previous forecast, according to Datagro.

The Russia-focused Sovecon agriculture consultancy raised its forecast for Russia’s July-June wheat exports by 300,000 tonnes to a new record high of 42.6 million tonnes.

Russia said on Wednesday it is ready to work with the United Nations to combat the risks of a global food crisis, and is willing to meet its obligations to export food and fertilisers.

The USDA cut its rating of the country’s corn crop in good to excellent shape to 67% in its weekly crop progress report, down three percentage points from a week ago.

Commodity funds were net buyers of CBOT soybean, soymeal and soyoil futures contracts on Wednesday, net sellers of wheat futures contracts and net even in corn, traders said.

Tags: tender, corn, USDA, planting, soybeans, wheat, soyoil, CBOT, futures, soymeal, spring wheat