SYDNEY/PARIS: US wheat fell to a 17-day low on Monday as rains across a major producing region weighed on the market, though forecasts for continued dry weather helped to limit the slide in prices.
Corn gave up some of its gains from the previous session, while soybeans edged lower.
The most active wheat futures on the Chicago Board of Trade were down 0.4 percent at $5.08-1/2 a bushel by 1028 GMT, after hitting a session-low of $5.02-3/4 a bushel - the lowest since June 30. Wheat closed down 0.2 percent on Friday.
Analysts said rains across pockets of a major US producing region were putting pressure on prices, but this timely rainfall had done little to relieve stress on crops.
"North American spring wheat regions still have large pockets that were very likely to be seeing yields continue to decline," Tobin Gorey, director of agricultural strategy, Commonwealth Bank of Australia, said.
Weather models call for continued dry weather across the US Plains, which may see yields fall below official estimates.
Despite the continued dry weather, the US Department of Agriculture last week forecast ample global grain and soy supplies.
The most active corn futures dropped 0.7 percent to $3.86-3/4 a bushel, having gained 1.7 percent in the previous session.
The most active soybean futures fell 0.1 percent to trade just above $10 a bushel after hitting $9.93-3/4 in earlier trade. It had firmed 1.4 percent on Friday.
The USDA on Friday said exporters sold 1.3 million tonnes of soybeans to China, an announcement that followed a Thursday signing ceremony between Chinese soy buyers and American sellers in Iowa.
The Taiwan Flour Millers' Association has issued an international tender to purchase 105,150 tonnes of grade 1 milling wheat to be sourced from the United States, European traders said on Monday.
Comments
Comments are closed for this article.