SINGAPORE, June 9 (Reuters) – Chicago corn dropped 0.8 percent on Monday, giving up some of last session’s gains and falling for seven out of eight days, as near-perfect crop weather in the U.S. Midwest buoyed expectations of record production.
Wheat rose for a second consecutive session on concerns about adverse weather in Russia’s Volga Valley and the southern U.S. Plains.
* Corn is under pressure as benign conditions for recently planted maize in the U.S. Midwest have raised expectations for a record harvest this year.
* Wheat has also been pressured as the northern hemisphere’s harvest neared and as U.S. supplies struggled to compete on the global market with cheaper grain from other origins.
* But some traders said the recent pullback in wheat had been overdone in view of crop risks in the southern United States and Russia.
* Rains last week raised concerns about quality damage to the maturing U.S. crop while hot and dry conditions stressed crops in Russia’s Volga Valley.
* Large speculators cut their net long position in Chicago Board of Trade corn futures in the week to June. 3, regulatory data released on Friday showed.
* The Commodity Futures Trading Commission’s weekly commitments of traders report also showed that noncommercial traders, a category that includes hedge funds, increased their net short position in CBOT wheat and cut their net long position in soybeans.
* Commodity funds on Friday bought a net 6,000 CBOT corn contracts, trade sources said. The funds sold 1,000 in soybeans and bought 2,000 in wheat.
* The dollar edged up against the yen in early trade on Monday thanks to upbeat U.S. employment data while the euro crept up from multi-month lows, continuing to shake off the impact from the European Central Bank’s monetary easing last week.
* Asian stocks basked in the glow of a record close on Wall Street after bright U.S. jobs data pointed to improving economic momentum.
DATA AHEAD (GMT) 0830 Euro zone Sentix index June 1400 U.S. Employment trends May
Prices at 0038 GMT Contract
Change Pct chg Two-day chg MA 30 RSI CBOT wheat
678.16 31 CBOT corn
488.15 33 CBOT soy
1483.68 31 CBOT rice
$14.13 -$0.04 -0.32%
$15.19 14 WTI crude
$101.90 50 Currencies
$1.365 -$0.001 -0.10%
+0.70% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential
(Reporting by Naveen Thukral; Editing by Ed Davies)