CHICAGO: Chicago Board of Trade grain and soybean futures rose on Wednesday, as traders uneasy about global supplies adjusted positions a day before the release of US crop data.
Strength in outside markets like crude oil helped set a positive tone for agricultural commodities, analysts said.
Grain traders are focused on the release of the monthly US Department of Agriculture (USDA) global crop report on Thursday that will include the first official supply and demand estimates for the new crop year, 2022/23.
The report will also update forecasts for Ukraine’s crop exports after Russia’s invasion and for production in drought-affected regions such as Brazil and the European Union.
The Ukraine war has heightened supply concerns as fighting has disrupted shipments from the Black Sea, a major corn and wheat supplier.
“For the most part, trade is expecting to see tight stocks to use numbers across the board for the 2022/23 marketing year,” said Karl Setzer, commodity risk analyst for AgriVisor.
The most-active corn contract on the Chicago Board of Trade (CBOT) was up 10-3/4 cents at $7.86 a bushel by 11:25 a.m. CDT (1625 GMT).
US farmers are making progress planting corn after early delays due to cold weather. Analysts said there were still concerns the slow start may threaten crop yields, though.
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