Corn drops 1.3pc, soybeans at 3-week low on improved US weather

SINGAPORE: Chicago corn futures slid more than 1% on Monday while soybeans dropped to a three-week low as improved crop weather in the U.S. Midwest weighed on the market.

Wheat hit its lowest in one month on expectations of near record U.S. winter crop.

"U.S. weather is improving for both corn and soybeans, but demand is still pretty strong so I don't see a big drop in prices," said Phin Ziebell, agribusiness economist at National Australia Bank.

The most-active corn contract on the Chicago Board Of Trade (CBOT) was down 1.3% at $6.51 a bushel, as of 0203 GMT, having closed 0.8% lower in the previous session.

Soybeans were down 0.9% at $15.12-1/4 a bushel, having dropped earlier the session to $15.06-1/4 a bushel, the lowest since April 30.

Wheat slid 1.3% at $6.65-1/2 a bushel, near the session low of $6.63-1/4 a bushel - the lowest since April 21.

Warmer temperatures and further showers forecast for the U.S. Midwest in the next three weeks could boost harvest prospects for recently planted corn and soybean crops.

For wheat, scouts on an annual tour of Kansas wheat fields found record yield potential in the top U.S. winter wheat state's crop after late-season rains.

Large speculators cut their net long position in CBOT corn futures in the week ended May 18, regulatory data released on Friday showed.

The Commodity Futures Trading Commission's weekly commitments of traders report also showed that non-commercial traders, a category that includes hedge funds, increased their net short position in CBOT wheat and cut their net long position in soybeans.