GRAINS-Corn falls, extends 2-day losses to 2.5 pct

SYDNEY, June 24 (Reuters) – U.S. corn futures fell for a second session on Tuesday, extending two-day losses to more than 2.5 percent, as heavy rains across the Midwest stoked expectations of a bumper crop.

FUNDAMENTALS

* Chicago Board Of Trade front-month corn fell 0.7 percent to $4.41-1/2 a bushel, having closed down 1.9 percent in the previous session.

* Spot wheat fell 0.3 percent to $5.78-1/4 a bushel, after fallen 0.9 percent on Monday.

* Front-month soybeans fell 0.3 percent to $14.20-3/4 a bushel, having firmed 0.6 percent on Monday.

* November soybeans, the most actively traded contract, fell 0.5 percent to $12.27-1/4 a bushel, having closed down 0.2 percent on Monday.

* U.S. Department of Agriculture, in a weekly report, rated 74 percent of U.S. corn as good or excellent, down 2 percentage points and in line with analysts’ estimates.

* The agency rated 72 percent of the U.S. soy crop as good or excellent, down 1 percentage point and above analysts’ expectations.

* Wet weekend weather set the stage for Monday’s decline in corn futures as analysts said crops should ultimately benefit from the moisture. Some areas have received too much rain, causing flooding and localized crop damage.

MARKET NEWS

* The dollar-bloc currencies held on to gains early on Tuesday, having outperformed their G3 peers on optimism about Chinese growth and as the market prepared for Japan to deliver its latest installment of long-term economic policies.

* Brent crude recorded its largest one-day decline in seven weeks on Monday, falling toward $114 a barrel as oil exports from Iraq remained unaffected by Islamic insurgents’ continued advance on Baghdad.

* U.S. stocks ended a quiet session on Monday essentially unchanged as investors found few reasons to keep buying following a six-day rally in the S&P 500, although merger activity lifted energy shares.

DATA AHEAD (GMT)

0800 Germany Ifo business climate

June

1300 U.S.

Monthly home price index

April

1300 U.S.

S&P/Case-Shiller home price index

April

1400 U.S.

Consumer confidence

June

1400 U.S.

New home sales

May

1400 U.S.

Richmond Fed composite index

June

Grains prices at 0016 GMT Contract

Last

Change Pct chg MA 30 RSI CBOT wheat

578.25

-1.50 -0.26%

629.34 26 CBOT corn

441.50

-3.00 -0.67%

463.53 37 CBOT soy

1227.25

-6.50 -0.53% 1457.49 43 CBOT rice

$13.76

$0.00 +0.00%

$13.95 56 WTI crude

$105.63 -$0.54 -0.51% $104.07 52 Currencies

Euro/dlr

$1.360 $0.000 +0.01%

USD/AUD

0.942

0.003 +0.35%

Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Reporting by Colin Packham; Editing by Richard Pullin)

About the author

Comments

explore

Stories from our other publications