CHICAGO: US wheat futures fell to their lowest price since February on Monday, pressured by the expanding harvest of winter wheat in the northern hemisphere and a lack of demand for US supplies, traders said.
Corn futures also fell, led by deferred contracts representing the 2022 harvest. But soyabeans rose as soyaoil and soyameal futures climbed.
As of 1:03 p.m. CDT (1803 GMT), Chicago Board of Trade July wheat was down 16-1/4 cents at $9.07-1/2 per bushel after dipping to $9.00-1/2, the contract’s lowest level since Feb. 28.
“Wheat has no friends right now. We are at harvest time and that is weighing on the market... And the demand is just really bad, especially for the export side,” said Jack Scoville, analyst with the Price Futures Group in Chicago.
Analysts surveyed by Reuters on average expect the US Department of Agriculture’s weekly crop progress report, due later on Monday, to show the winter wheat harvest as 40% complete, up from 25% a week ago.
Corn futures declined on better-than-expected weekend rains in portions of the Midwest that should bolster crop prospects, as well as trade expectations for the USDA to raise its estimate of US corn plantings in a June 30 acreage report.
“Weather conditions have eased a little,” said Wang Xiaoyang, senior analyst with Sinolink Futures. “Expectation of drought has weakened,” Wang added.
Still, analysts surveyed by Reuters on average expected the USDA later on Monday to lower its weekly condition ratings for corn while leaving soyabean ratings unchanged.
CBOT July corn was down 6-1/4 cents at $7.44 a bushel while new-crop December corn was down 22 cents at $6.60-3/4 a bushel.