Corn rises nearly 1% on lower US planting, wheat eases
- US estimates are fuelling global supply concerns as inventories are slim and growing areas in North and South America are grappling with unfavourable weather
SINGAPORE: Chicago corn futures rose almost 1% on Thursday while soybeans were trading close to last session's two-week high, as lower-than-expected US plantings supported prices. Wheat prices fell after Wednesday's rally.
FUNDAMENTALS
The most-active corn contract on the Chicago Board of Trade (CBOT) rose 0.9% to $5.93-1/2 a bushel, as of 0026 GMT.
- Soybeans were unchanged at $13.99 a bushel, while wheat lost 0.7% to $6.74-1/2 a bushel.
On Wednesday, corn futures climbed by their daily exchange-imposed limit after the US Department of Agriculture (USDA) pegged plantings of the crop at 92.692 million acres, below analysts' expectations for 93.787 million.
The agency said soybean plantings totalled 87.555 million acres, compared to analysts' expectations for 88.955 million.
In its quarterly stocks report, the USDA said domestic corn supplies on June 1 stood at 4.122 billion bushels, the lowest for that date since 2014. Soybean stocks came in at a six-year low of 767 million bushels and wheat stocks were 844 million bushels, also the lowest in six years.
Analysts had predicted corn stocks of 4.144 billion bushels, soybean stocks of 787 million and wheat stocks of 859 million.
US estimates are fuelling global supply concerns as inventories are slim and growing areas in North and South America are grappling with unfavourable weather.
Commodity funds were net buyers of CBOT corn, wheat, soybean, soymeal and soyoil futures contracts on Wednesday, traders said.
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