Corn rises for 3rd session as U.S. crop ratings decline

By Times Of India on 08 Aug 2017 | read

SINGAPORE, Aug 8 (Reuters) - Chicago corn rose for a third consecutive session on Tuesday to its highest in more than a week, with prices supported by a U.S. government report showing a marginal decline in crop ratings. Wheat edged lower after climbing almost 2 percent on Monday while soybeans gained for a second session. FUNDAMENTALS * The U.S. Department of Agriculture in its weekly crop progress report rated 60 percent of the U.S. corn crop in good to excellent condition, down from 61 percent a week earlier. * The agency also rated 60 percent of the soybean crop as good to excellent, up from 59 percent the previous week. * Analysts surveyed by Reuters on average had expected no change in ratings for either crop. * Corn and soybean markets are taking direction from weather in the U.S. Midwest as both crops mature. Temperatures have turned cooler this month but some areas need moisture. * Investors have started adjusting their holdings ahead of the USDA's hotly anticipated supply-demand reports for August, which are due on Thursday. * Reports will include the department's first yield estimates incorporating field data for the 2017 U.S. corn and soybean crops. * Analysts surveyed by Reuters on average expect the USDA to project the U.S. 2017 corn yield at 166.2 bushels per acre (bpa), below the government's current trend-based forecast of 170.7 bpa. * For soybeans, the average of analysts' yield estimates was 47.5 bpa, below the USDA's current trend-based figure of 48.0 bpa. * Wheat prices have been underpinned by hot and dry weather in U.S. spring crop areas although ample world supplies are keeping a lid on the market. * France, the European Union's largest grain grower, is expected to produce 36.8 million tonnes of soft wheat, up from 36.2 million estimated a month ago and a third higher than last year's weather-hit crop of just 27.6 million. * Russia, Ukraine and Kazakhstan anticipate strong exports in the current 2017/18 marketing year as recent good weather has buoyed their expectations for bumper crops. MARKET NEWS * Asian shares neared decade peaks on Tuesday thanks to optimism on the global economy and a rash of records on Wall Street, while major currencies were becalmed ahead of Chinese trade data. DATA AHEAD (GMT) 0130 Australia NAB business conditions index July 0600 Germany Trade data June 0645 France Trade data June 1000 U.S. Small-business confidence index July 1400 U.S. JOLTS Job openings June Grains prices at 0103 GMT Contract Last Change Pct chg Two-day chg MA 30 RSI CBOT wheat 463.25 -0.25 -0.05% +1.87% 499.01 41 CBOT corn 387.75 1.00 +0.26% +1.77% 391.05 55 CBOT soy 972.25 2.50 +0.26% +1.62% 990.63 42 CBOT rice 12.09 $0.04 +0.33% -1.99% $12.03 44 WTI crude 49.28 -$0.11 -0.22% -0.61% $46.98 59 Currencies Euro/dlr $1.180 $0.001 +0.08% +0.30% USD/AUD 0.7914 0.000 +0.04% -0.10% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Reporting by Naveen Thukral; Editing by Richard Pullin)