January 4, 2017 / 3:14 AM / 7 months ago

GRAINS-Corn rises for 4th day, soybeans struggle with ample supplies

4 Min Read

* Corn up for 4th session on expectations of fund buying
    * Soybeans pressured by outlook for South American crop

 (Adds details, quotes)
    By Naveen Thukral
    SINGAPORE, Jan 4 (Reuters) - Chicago corn futures rose for a
fourth consecutive session on Wednesday on expectations of
buying by commodity funds early in the new year as they
rebalance portfolios. 
    Soybeans were little changed after dropping for the past
three sessions on expectations of bumper South American
production, while wheat was underpinned by concerns over dry
conditions in the parts of the U.S. grain belt. 
    The Chicago Board of Trade most-active corn contract 
rose 0.1 percent to $3.56-1/4 a bushel by 0250 GMT, having
gained 1 percent in the previous session when prices hit their
strongest since Dec. 16 at $3.58-1/2 a bushel.
    Soybeans were unchanged at $9.95 a bushel while wheat
 rose 0.2 percent to $4.07-1/4 a bushel.
    "Funds positioning in the new year trading is supportive for
the corn market but export business is slow," said Kaname Gokon
at brokerage Okato Shoji in Tokyo. 
    "For soybeans, crop conditions in Brazil and Argentina
continue to improve."
    The managers of both the S&P GSCI and the Bloomberg
Commodity Index last autumn announced plans to raise the share
of corn and wheat in their indexes for 2017, and the funds
typically make those adjustments in January. 
 
    Commodity funds were net buyers of CBOT corn futures
contracts on Tuesday and net sellers of soybean futures.
 
    Soybeans are under pressure as analysts grow more confident
of crop prospects in South America.
    Rain showers forecast for this week should benefit soybean
crops across Brazil and should not be heavy enough to hamper
harvesting of the first shipments of the 2016/17 season,
meteorologists said on Tuesday. 
    Brazil, the world's largest soybean exporter, is expected to
reap a record harvest of more than 100 million tonnes this year,
according to estimates by government agencies and the private
sector. The crop is in the final stages of development in the
main producing states.
    Condition ratings for the winter wheat crop declined in
parts of the U.S. Plains in December, especially Oklahoma, which
endured a cold and dry month, the U.S. Department of Agriculture
said on Tuesday. 
    
 Grains prices at  0250 GMT
 Contract    Last    Change  Pct chg  Two-day chg  MA 30    RSI
 CBOT wheat  407.25  0.75    +0.18%   -0.18%       409.38   56
 CBOT corn   356.25  0.50    +0.14%   +1.21%       354.52   60
 CBOT soy    995.00  0.00    +0.00%   -0.90%       1032.39  32
 CBOT rice   9.56    -$0.04  -0.47%   -0.52%       $9.81    47
 WTI crude   52.65   $0.32   +0.61%   -1.99%       $51.06   50
 Currencies                                                 
 Euro/dlr    $1.040  $0.000  -0.02%   -0.53%                
 USD/AUD     0.7232  0.001   +0.11%   +0.71%                
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per
 hundredweight
 RSI 14, exponential
    

 (Reporting by Naveen Thukral; Editing by Richard Pullin)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below