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GRAINS-Corn climbs for 5th day, US crop withstands heavy rain
July 14, 2015 / 3:15 AM / 2 years ago

GRAINS-Corn climbs for 5th day, US crop withstands heavy rain

* Corn at 1-year peak as U.S. supplies seen tightening
    * Wheat up from 2-week low, Egypt tender in focus

 (Adds comment, detail)
    By Naveen Thukral
    SINGAPORE, July 14 (Reuters) - Chicago corn futures rose for
a fifth consecutive session on Tuesday to a one-year high, with
the market underpinned by expectations of tighter supplies and
unwanted moisture from heavy rains in parts of the U.S. grain
belt.
    Soybeans climbed 1.4 percent as U.S. crop conditions
deteriorated slightly and wheat advanced from a two-week low.
    "Weather forecasters continue to expect a better turn in the
weather for much of the U.S. corn belt even if some areas remain
too wet right now," Tobin Gorey, director of agricultural
strategy at Commonwealth Bank of Australia, said in a note to
clients.
    "But the market has grown sceptical about this drier turn in
the weather so is likely to wait for it to happen before giving
up corn's price gains."
    Chicago Board of Trade September corn had risen 0.5
percent to $4.42-3/4 a bushel by 0250 GMT. Corn climbed 1.3
percent in the previous session.
    Soybeans rose 1.4 percent to $10.51-1/2 a bushel,
having firmed 0.7 percent on Monday. Wheat added 0.7
percent to $5.79-3/4 a bushel, having closed 0.3-percent lower
on Monday.
    The U.S. Department of Agriculture, in a report issued after
the close of trading on Monday, cut soybean ratings by 1
percentage point but left corn conditions unchanged. 
 
    It rated 62 percent of soybeans good-to-excellent as
compared with 63 percent a week ago and below last year's 72
percent. The agency said 69 percent of the corn crop was in
good-to-excellent condition, matching last week's rating but
below last year's 76 percent.
    Analysts had expected both corn and soybeans to be trimmed
by 1 percent.
    The USDA, in a monthly report issued on Friday surprised
investors, showing corn and soybean supplies at small levels
than anticipated, sending prices higher for each crop.
 
    The wheat market is focused on a tender floated by Egypt,
the world's biggest importer, although U.S. suppliers are not
expected to win business.
    Egypt's General Authority for Supply Commodities set a
tender on Monday to buy an unspecified amount of wheat from
global suppliers for shipment from Aug. 21-31. 
    Still, Russian wheat export prices rose further last week,
supported by delayed harvesting, problems with the government's
export tax and high demand.
    Crops in Russia, a major wheat exporter, have been delayed
this year by rains in its southern regions, the key area for
exports via the Black Sea.    
  Prices at 0250 GMT
  Contract        Last    Change  Pct chg  Two-day chg MA 30   RSI 
  CBOT wheat     579.75     4.00  +0.69%    +0.30%     540.03   63
  CBOT corn      453.50     1.75  +0.39%    +3.30%     398.07   88
  CBOT soy      1045.00    16.50  +1.60%    +2.23%     967.21   69
  CBOT rice      $10.89   -$0.04  -0.41%    -1.45%     $10.34   67
  WTI crude      $51.75   -$0.45  -0.86%    -1.88%     $57.86   23
  Currencies                                                
  Euro/dlr       $1.101  -$0.016  -1.39%    -0.26%
  USD/AUD         0.743   -0.001  -0.13%    -0.21%
  Most active contracts
  Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
  RSI 14, exponential
             

 (Editing by Joseph Radford)

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