Advertisement 1

Corn rises from 1-1/2 month low, lower U.S. exports in focus

Article content

SINGAPORE — Chicago corn futures on Tuesday recovered from a one-and-half

month low hit in the last session, though gains were capped due to a slow pace of U.S. exports this

year.

Soybeans edged higher after dropping to a five-week low on Monday, with slow progress in

Article content

signing of a trade deal between Washington and Beijing weighing on prices.

The most-active corn contract on the Chicago Board Of Trade was up 0.2% at $3.74 a

bushel, as of 0353 GMT, having closed 1% lower in the previous session when prices hit a Sept. 30

Advertisement 2
Story continues below
Article content

low of $3.72-1/2 a bushel.

Soybeans were up 0.1% at $9.18 a bushel, having hit an Oct. 8 low of $9.16 a bushel on

Monday, while wheat added 0.2% to $5.06-1/2 a bushel.

“The USDA’s new forecasts proved mostly unexciting,” said Tobin Gorey, director of agricultural

strategy at Commonwealth Bank of Australia.

“The market is thus focussed on what must happen to speed (up) U.S. corn exports. The price

pressure in the supply pipeline will just keep on building until that export outflow grows.”

The U.S. Department of Agriculture’s (USDA) on Friday lowered its corn harvest outlook to

13.661 billion bushels, from 13.779 billion a month earlier.

End-of-season U.S. corn stocks were trimmed to a still-abundant 1.91 billion bushels, while

exports were lowered by 50 million bushels.

In the soybean market, there was caution ahead of a speech by U.S. President Donald Trump to

the Economic Club of New York later in the day in case there was any new word on the Sino-U.S.

Phase one trade deal.

Trump wrongfooted markets over the weekend when he said there had been incorrect reporting

about U.S. willingness to lift tariffs on China.

Advertisement 3
Story continues below
Article content

Drier U.S. weather is expected to help farmers advance corn and soybean harvests that have been

delayed by cold and wet conditions. More snow and rain fell in the Midwest on Monday.

The USDA will issue an update on harvest progress in a weekly report on Tuesday, one day later

than normal because of the Veterans Day holiday.

Commodity funds were net sellers of CBOT corn, wheat, soybean, soymeal and soyoil futures

contracts on Monday, traders said.

Grains prices at 0353 GMT

Contract Last Change Pct chg Two-day chg MA 30 RSI

CBOT wheat 506.50 0.75 +0.15% -1.17% 509.03 41

CBOT corn 374.00 0.75 +0.20% -0.33% 387.48 31

CBOT soy 918.00 1.00 +0.11% -1.98% 938.43 34

CBOT rice 12.07 $0.05 +0.46% +0.33% $12.05 57

WTI crude 56.84 -$0.02 -0.04% -0.70% $54.76

Currencies

Euro/dlr $1.103 $0.002 +0.15% -0.14%

USD/AUD 0.6842 -0.002 -0.25% -0.80%

Most active contracts

Wheat, corn and soy US cents/bushel. Rice: USD per

hundredweight

RSI 14, exponential

(Reporting by Naveen Thukral; editing by Uttaresh.V)

Article content
Comments
You must be logged in to join the discussion or read more comments.
Join the Conversation

Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.

This Week in Flyers