SYDNEY/PARIS: US corn futures edged higher on Thursday, rebounding from a seven-week low touched in the previous session, although gains were checked by forecasts for more favourable weather that eased concerns about the prospects for the coming crop.
Soybeans fell to their lowest since mid-June amid little progress in US-China trade talks, while wheat also inched lower.
The most active corn futures on the Chicago Board Of Trade were up 0.5% at $4.12 a bushel by 1130 GMT, having closed down 2.6% in the previous session. Prices on Wednesday hit their lowest since June 11 at $4.09-1/2 a bushel.
"We saw some pretty heavy losses (on Wednesday) and we are seeing a bit of a position squaring ... but the fundamentals of the market remain bleak," said one Melbourne-based grains traders who declined to be named as he is not authorised to talk to the media.
The US Department of Agriculture on Wednesday said temperatures across the US Midwest will be slightly below average, ideal for corn and soybeans, although pockets of unfavourable dryness persist in the corn belt.
The most active wheat futures were down 0.3% at$4.87-3/4 a bushel, having closed down 2% on Wednesday.
The most active soybean futures were unchanged at $8.81-1/2 a bushel after earlier hitting a session low of $8.78-1/2 a bushel, the lowest since June 13. Soybeans closed down 1.7% on Wednesday.
The market's focus is on the US-China trade talks, the latest round of which wrapped up on Wednesday without any visible signs of progress to resolve the trade war.
Before the start of the dispute in mid-2018, China was the biggest buyer of US soybeans.
"Resolution to ongoing trade issues remains elusive, and confirmation of US agriculture product purchases by China remains to be seen," brokerage Allendale said in a note.?Reuters
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