PARIS/BEIJING: Chicago corn, wheat and soybean futures edged down on Thursday as traders adjusted positions before widely followed US government crop forecasts later in the day.
Caution before the US Department of Agriculture’s monthly supply-demand report due at 1600 GMT helped curb a rebound in grains from multi-month lows earlier in the week.
Subdued oil prices, as investors assessed the latest US and Iranian strikes in the Middle East conflict, also removed impetus for oilseeds like soybeans that are partly used for biofuel.
The most-active corn contract on the Chicago Board of Trade was down 0.5percent at USD4.17 a bushel by 1012 GMT.
CBOT soybeans were 0.1percent lower at USD11.21-1/2 a bushel and CBOT wheat was down 0.3percent at USD5.85-3/4 a bushel.
“Trade today may be slow ahead of the USDA report due later,” CM Navigator analyst Donatas Jankauskas said.
Investor caution before a European Central Bank interest rate decision and the release of US producer price data contributed to subdued trading, according to analysts.
Favourable weather for US corn and soybean crops plus the start of Northern Hemisphere wheat harvesting have pressured grain markets since late May.
While analysts only expect the USDA to make minor adjustments to US forecasts, they anticipate the agency will raise its estimates of corn and soybean harvests in Brazil and Argentina.
In Argentina, the world’s leading exporter of soybean oil and meal, the Rosario grain exchange on Wednesday raised its production forecast for the 2025/26 soybean crop to 51.5 million metric tons from a previous estimate of 50 million, as better-than-expected yields boosted output.
Traders are also watching for the USDA’s weekly export sales figures due at 1230 GMT for an update on demand. Brisk export demand for US corn has helped underpin the market.
Comments