BEIJING/PARIS: Chicago corn and wheat futures edged up on Wednesday as traders awaited US inflation data and further indications on crop weather and US tariff policy.
Soybeans eased, extending Tuesday’s fall as higher-than-expected forecasts of US soybean and corn stocks from the US Department of Agriculture (USDA) weighed on the market.
The most-active soybean contract on the Chicago Board of Trade (CBOT) was down 0.5% at $10.38-1/2 a bushel by 1157 GMT while CBOT corn inched up 0.1% to $4.84-1/2 a bushel.
CBOT wheat rose 0.6% to $5.80-1/2 a bushel, breaking a three-session slide.
Investors were watching for a monthly US inflation reading that could sway the dollar and commodities priced in the U.S currency.
The wheat market was also awaiting the outcome of a tender by major importer Algeria to gauge the reduced competitiveness of Russian supplies.
In its monthly report on Monday, the USDA projected US soybean and corn end-of-season supplies above market expectations while cutting Argentina’s corn and soybean production outlook after hot and dry weather wilted crops.
However, global soybean supplies are still expected to be significant due to a bumper crop in top producer Brazil, according to traders and analysts.
“The market focus now shifts to the Algerian tender, weather developments, and potential policy moves from US President Donald Trump,”
Agribusiness consultancies in Brazil diverged on the size of the country’s 2024-25 soybean crop. While AgResource Brasil raised its forecast to a record 172.28 million tons, Patria AgroNegocios trimmed its outlook to 165.87 million tons.
A cold spell forecast in Russia and across Europe was also being monitored for impact on wheat crops.
Grain markets were also watching out for further tariff announcements by US President Donald Trump and possible retaliatory action by trading partners that might affect US crop exports.
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