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GRAINS-Wheat rises to six-week high on U.S. cold; soybeans firm
January 9, 2017 / 3:57 AM / a year ago

GRAINS-Wheat rises to six-week high on U.S. cold; soybeans firm

* Wheat rises for 3 out of 4 sessions, near 6-week high
    * Soybeans edge higher after last session's losses

 (Adds details, quotes)
    By Naveen Thukral
    SINGAPORE, Jan 9 (Reuters) - Chicago wheat gained 0.8
percent on Monday, rising for a third session out of four, with
the market trading near a six-week high as cold weather across
North America raised fears of potential crop damage. 
    Soybeans edged higher, recouping some of last session's
losses although gains were capped by slowing demand for U.S.
shipments. 
    The most-active wheat contract on the Chicago Board Of Trade
 rose 0.8 percent to $4.26-3/4 a bushel by 0319 GMT, not
far from Friday's peak of $4.28 a bushel, the highest since Nov.
22. 
    Soybeans gained 0.2 percent to $9.96-3/4 a bushel,
having closed down 1.8 percent on Friday and corn rose 0.4
percent to $3.59-1/2 a bushel, having slid 0.9 percent in the
previous session.
    "U.S. cold weather is supportive for wheat prices as there
is a threat about winter kill. It can impact yields," said
Rajesh Singla, head of agriculture research at Societe Generale.
    The eastern United States began digging out on Saturday from
a massive storm that dumped heavy snow from Georgia to
Massachusetts, knocking out power for thousands of people and
causing hundreds of car crashes. 
    The soybean market faces headwinds from slowing demand for
U.S. cargoes. 
    U.S. soybean export sales slid to their lowest in the
current marketing year last week, the U.S. Department of
Agriculture said on Friday, fuelling concerns that formerly
sizzling demand is cooling down. 
    Exporters in the week ended Dec. 29 struck deals to sell
87,500 tonnes of U.S. soybeans for delivery in the 2016/2017
marketing year, which ends on Sept. 1, according to the USDA.
That was down 94 percent from the prior four-week average.
    Soybean exports from the U.S. could be delayed as winter
conditions threaten to slow the movement of the oilseed to West
Coast ports, which may see international buyers switch to South
American supplies.
    At the same time, Brazil's 2016/17 soybean harvest is likely
to hit a record of 103.5 million tonnes, thanks largely to good
weather conditions, a Reuters poll showed on Friday.
 
    The estimate, based on the average of 18 predictions by
consultants and official bodies, was slightly higher than a
forecast of 103.1 million tonnes from a Reuters poll in early
December.
    
 Grains prices at  0319 GMT
 Contract    Last    Change  Pct chg  Two-day chg  MA 30    RSI
 CBOT wheat  426.75  3.50    +0.83%   +0.12%       409.41   71
 CBOT corn   359.50  1.50    +0.42%   -0.48%       354.47   61
 CBOT soy    996.75  2.00    +0.20%   -1.56%       1029.37  37
 CBOT rice   9.66    -$0.01  -0.10%   -0.87%       $9.80    54
 WTI crude   53.78   -$0.21  -0.39%   +0.04%       $51.68   62
 Currencies                                                 
 Euro/dlr    $1.053  $0.000  +0.02%   -0.67%                
 USD/AUD     0.7322  0.003   +0.43%   -0.19%                
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per
 hundredweight
 RSI 14, exponential
    

 (Reporting by Naveen Thukral; Editing by Christian
Schmollinger)

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