CHICAGO: US wheat futures fell on Tuesday, extending a losing streak that pushed prices for hard red winter wheat contracts to a three-week low amid improving crop conditions, traders said.
Soybean futures eased on a technical selling while corn futures firmed, with forecasts for rain in the US Midwest threatening to stall planting.
K.C. hard red winter wheat futures, which track the crop being grown in the US Plains, were on track for their eight straight negative session. The most-active contract has shed 10.6 percent of its value during the streak.
Chicago Board of Trade soft red winter wheat was on pace for its fifth straight day of losses.
The US Agriculture Department on Monday afternoon said that the US winter wheat crop was rated 36 percent good to excellent as of May 14, up 2 percentage points from a week earlier. Analysts had been expecting 34 percent, based on the average of estimates given in a Reuters poll.
Wheat stocks remained plentiful, keeping pressure on the market as the US harvest nears.
“We still have wheat coming out of ours ears (and) the recent rains may improve the ratings a little bit,” said Dewey Strickler, president of Ag Watch Market Advisors.
At 10:17 a.m. CDT (1517 GMT), Chicago Board of Trade July soft red winter wheat futures were down 1-1/2 cents at $4.89-3/4 a bushel. K.C. July hard red winter wheat was 3-1/4 cents lower at $5.06-1/2 a bushel.
CBOT July corn was up 2-1/4 cents at $3.98-3/4 a bushel.
“Corn is stronger despite swift progress in US plantings, which brought US progress to around normal levels,” said Charles Clack, agricultural commodity analyst at Rabobank. “There is also worry about persistent dryness in Brazil.”
USDA pegged corn planting progress at 62 percent, up from 39 percent a week earlier. The five-year average for mid-May is 63 percent.
CBOT July soybean futures were 8 cents lower at $10.12-3/4 a bushel.
Soybeans firmed during overnight trading but turned lower after failing to take out Monday’s high of $10.26 a bushel.
Traders were waiting for the release of the National Oilseed Processors Association monthly report on US crushing, which will be released at 11 a.m. CDT (1600 GMT). Analysts have forecast an April crush of 160.966 million bushels, which would a record for the month.
Source: Brecorder
