Mon Jun 10, 2013
* Corn falls 0.8 pct after two days of strong gains
* Soy dips from 4-month top, eyes planting report
* U.S. wheat at lowest since May 30 on weak demand
By Naveen Thukral
SINGAPORE, June 10 (Reuters) - Chicago new-crop corn slid 0.8 percent on Monday, giving up some of its strong gains from the past two sessions, while soy dipped from a four-month high
on positioning ahead of the U.S. government's weekly planting progress report.
Wheat fell to its lowest since May 30, dropping for a fourth session as buyers continued to shun U.S. supplies after an unauthorized strain of genetically engineered wheat was found in
the state of Oregon.
Corn and soybean may be supported by slow planting across the U.S. Midwest due to soggy conditions and projections for more disruptions this week.
Soybeans were 57 percent planted as of June 1, behind the five-year average of 74 percent, while corn was 91 percent planted, behind the five-year average of 95 percent. At the
time, planting progress was the slowest for both crops since 1996.
"Corn is in a much better situation than soybeans as farmers had a window of opportunity early last week," said Joyce Liu, an investment analyst at Phillip Futures in Singapore. "Wet weather is ultimately good for emergence."
The U.S. Department of Agriculture will issue its update on planting progress later on Monday.
The market is expecting the USDA to show between 92 and 95 percent of U.S. corn was planted at the end of last week. Soybean seeding is estimated around 70 to 73 percent.
Chicago Board of Trade new-crop December corn fell 0.8 percent to $5.54 a bushel by 0327 GMT, after climbing around 3 percent in the last two sessions.
November soy gave up 1-1/4 cents to $13.29 a bushel after climbing to its highest since Feb. 7 on Friday. July wheat lost as much as 0.6 percent to $6.92 a bushel.
MORE RAIN FORECAST FOR U.S. MIDWEST
The U.S. Midwest is forecast to witness more showers this week, bringing moderate to light amounts of rain over the next 10 days. Rains are forecast over the eastern grain belt on
Monday, the second wave of showers between Wednesday and Thursday and the third one over the weekend.
Investors are also awaiting USDA's monthly supply and demand report due on June 12. The government is expected to trim its outlook for corn supplies at the end of the next crop's
marketing year on Aug. 31, 2104.
Demand from overseas buyers remained quiet in the U.S. white wheat market in the Pacific Northwest last week, after the discovery of the genetically modified wheat strain in Oregon.
Japan, the United States' top white wheat customer, declined for a second straight week to bid at its weekly tender. South Korea has formally suspended U.S. wheat purchases, while the
European Union said it would step up testing.
Large speculators cut their net long position in CBOT corn in the week to June. 4, while noncommercial traders trimmed their net short position in CBOT wheat and raised their net long
position in soybeans, regulatory data showed.
Prices at 0327 GMT
Contract Last Change Pct chg MA 30 RSI
CBOT wheat 692.75 -3.50 -0.50% 867.50 39
CBOT corn 554.00 -4.50 -0.81% 760.38 52
CBOT soy 1521.75 -6.50 -0.43% 1581.27 57
CBOT rice $15.85 -$0.01 -0.06% $15.50 70
WTI crude $96.18 $0.15 +0.16% $89.19 65
Currencies
Euro/dlr $1.320 $0.091
USD/AUD 0.943 -0.113
Most active contracts
Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
RSI 14, exponential
(Editing by Himani Sarkar)
* Corn falls 0.8 pct after two days of strong gains
* Soy dips from 4-month top, eyes planting report
* U.S. wheat at lowest since May 30 on weak demand
By Naveen Thukral
SINGAPORE, June 10 (Reuters) - Chicago new-crop corn slid 0.8 percent on Monday, giving up some of its strong gains from the past two sessions, while soy dipped from a four-month high
on positioning ahead of the U.S. government's weekly planting progress report.
Wheat fell to its lowest since May 30, dropping for a fourth session as buyers continued to shun U.S. supplies after an unauthorized strain of genetically engineered wheat was found in
the state of Oregon.
Corn and soybean may be supported by slow planting across the U.S. Midwest due to soggy conditions and projections for more disruptions this week.
Soybeans were 57 percent planted as of June 1, behind the five-year average of 74 percent, while corn was 91 percent planted, behind the five-year average of 95 percent. At the
time, planting progress was the slowest for both crops since 1996.
"Corn is in a much better situation than soybeans as farmers had a window of opportunity early last week," said Joyce Liu, an investment analyst at Phillip Futures in Singapore. "Wet weather is ultimately good for emergence."
The U.S. Department of Agriculture will issue its update on planting progress later on Monday.
The market is expecting the USDA to show between 92 and 95 percent of U.S. corn was planted at the end of last week. Soybean seeding is estimated around 70 to 73 percent.
Chicago Board of Trade new-crop December corn fell 0.8 percent to $5.54 a bushel by 0327 GMT, after climbing around 3 percent in the last two sessions.
November soy gave up 1-1/4 cents to $13.29 a bushel after climbing to its highest since Feb. 7 on Friday. July wheat lost as much as 0.6 percent to $6.92 a bushel.
MORE RAIN FORECAST FOR U.S. MIDWEST
The U.S. Midwest is forecast to witness more showers this week, bringing moderate to light amounts of rain over the next 10 days. Rains are forecast over the eastern grain belt on
Monday, the second wave of showers between Wednesday and Thursday and the third one over the weekend.
Investors are also awaiting USDA's monthly supply and demand report due on June 12. The government is expected to trim its outlook for corn supplies at the end of the next crop's
marketing year on Aug. 31, 2104.
Demand from overseas buyers remained quiet in the U.S. white wheat market in the Pacific Northwest last week, after the discovery of the genetically modified wheat strain in Oregon.
Japan, the United States' top white wheat customer, declined for a second straight week to bid at its weekly tender. South Korea has formally suspended U.S. wheat purchases, while the
European Union said it would step up testing.
Large speculators cut their net long position in CBOT corn in the week to June. 4, while noncommercial traders trimmed their net short position in CBOT wheat and raised their net long
position in soybeans, regulatory data showed.
Prices at 0327 GMT
Contract Last Change Pct chg MA 30 RSI
CBOT wheat 692.75 -3.50 -0.50% 867.50 39
CBOT corn 554.00 -4.50 -0.81% 760.38 52
CBOT soy 1521.75 -6.50 -0.43% 1581.27 57
CBOT rice $15.85 -$0.01 -0.06% $15.50 70
WTI crude $96.18 $0.15 +0.16% $89.19 65
Currencies
Euro/dlr $1.320 $0.091
USD/AUD 0.943 -0.113
Most active contracts
Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
RSI 14, exponential
(Editing by Himani Sarkar)
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