GRAINS-U.S. corn drops, wheat gains ahead of USDA data
* Analysts see thin trade ahead of Thursday's USDA data * Corn stuck between lower stocks, higher planting estimates * U.S. wheat areas get less rain than anticipated By Mayank Bhardwaj NEW DELHI, March 26 (Reuters) - Chicago corn futures fell on Tuesday after settling up 1 percent in the previous session, as traders squared positions ahead of key data from the United States Department of Agriculture expected later in the week. The USDA data, due on Thursday, is widely expected to reveal the tightest stockpile of corn in 15 years but analysts also estimate this year's corn planting to be the highest in 77 years, easing supply concerns. May corn shed 0.27 percent to $7.31-1/4 a bushel by 0505 GMT on the Chicago Board of Trade, having gained 1 percent in the last session. May wheat gained 0.1 percent to $7.28 a bushel, after closing down 2-1/2 cents in the previous session. May soybeans slipped 0.1 percent to $14.35-3/4 a bushel. They had settled at $14.37-1/4 per bushel on Monday, down 3-1/4 cents per bushel. "The fact that the USDA is expected to come out with the numbers reflecting tighter supply positions is supportive for corn," said Luke Mathews, commodities strategist at the Commonwealth Bank of Australia. "But corn will remain torn between expectations of tighter supply numbers by the USDA and estimates of higher area under planting," Mathews said. Analysts on average expect the USDA to peg quarterly corn stocks as the smallest in 15 years. Investment funds were said to have bought 7,000 corn contracts and sold 1,000 contracts each of wheat and soybeans. Wheat rose, reflecting buoyant export demand, Mathews said. "Export demand was strong in the past week but concerns remain about the impact of poor weather conditions in the United States and there's nothing to be excited about on wheat," he said. Analysts expect trading volumes to remain thin until Thursday's report. Wheat-growing areas of the U.S. Plains have received light rain but showers have been less than anticipated, while bitter cold there may have damaged wheat plants emerging from winter dormancy. For soybean, analysts expect the USDA will announce quarterly stocks to be the smallest in nine years. Investment funds were said to have sold 1,000 contracts of soybeans. Grains prices at 0505 GMT Contract Last Change Pct chg Two-day chg MA 30 RSI CBOT wheat 728.00 0.75 +0.10% -0.24% 719.68 61 CBOT corn 731.25 -2.00 -0.27% +0.69% 702.52 57 CBOT soy 1435.75 -1.50 -0.10% -0.33% 1441.23 45 CBOT rice $14.98 $0.05 +0.37% +0.54% $15.42 55 WTI crude $94.84 $0.03 +0.03% +1.21% $93.31 66 Currencies Euro/dlr $1.286 $0.001 +0.09% -0.94% USD/AUD 1.046 0.000 -0.04% +0.17% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Editing by Clarence Fernandez)
- Tweet this
- Share this
- Digg this
DAVOS, Switzerland - Central banks have done their best to rescue the world economy by printing money and politicians must now act fast to enact structural reforms and pro-investment policies to boost growth, central bankers said on Saturday.
Trending On Reuters
Facebook Inc's revenue grew 49 percent in the fourth quarter, as mobile advertising growth helped the world's largest Internet social network beat Wall Street's targets for earnings and sales. Full Article