SINGAPORE: Chicago wheat ticked lower on Wednesday after climbing more than 2% in the previous session, although concerns over tightening world supplies limited the losses.
Corn fell after two straight sessions of gains, while soybeans slipped for a fourth day.
A decline in U.S. winter crop rating and delays in spring planting provided some support to prices.
“U.S. Northern Plains and some adjacent areas continue to experience unseasonably wet and cold weather that will now likely result in planting delays,” said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia.
The most-active wheat contract on the Chicago Board of Trade (CBOT) fell 0.5% to $10.89-1/4 a bushel, as of 0405 GMT.
Corn gave up 0.3% to $7.99 a bushel, while soybeans slid three quarters of a cent to $16.71 a bushel.
Global supplies of key crop staples will remain tight for at least two years after harvest shortfalls in some countries and shipping disruptions triggered by Russia’s invasion of Ukraine, Archer-Daniels-Midland Co said on Tuesday.
US MIDDAY: US wheat, corn rise
Demand will likely outpace supplies until at least 2024, resulting in high crop prices that will draw grain stocks out of storage and encourage South American farmers to plant more, the grains merchant said after posting a better-than-expected quarterly profit.
Soybean futures are facing pressure after Brazil’s Anec raised its outlook for the country’s export of the oilseed.
Losses were kept in check by signs that the United States remains competitive for deals with top buyer China.
Private exporters reported the sale of 132,000 tonnes of soybeans to China for delivery in the 2022/23 marketing year, the U.S. Department of Agriculture (USDA) said on Tuesday morning.
The USDA on Monday afternoon rated 27% of U.S. winter wheat in good-to-excellent condition, down 3 percentage points from a week ago and the lowest for this time of year since 1989, as drought persists in the Plains wheat belt.
The USDA said corn planting was 7% complete, as of April 24, below the average analyst estimate of 9% and the five-year average of 15%
Indonesia will ban exports of RBD palm olein from midnight on April 28 until prices of bulk cooking oil drop to 14,000 rupiah ($0.9715) per litre, a senior minister said on Tuesday, while a document showed it was prepared to widen the ban if there were shortages.
Commodity funds were net buyers of CBOT wheat, soyoil, corn and soybean futures contracts on Tuesday, traders said. They were net sellers of CBOT soymeal, traders said.