August 15, 2019 / 2:07 AM / a month ago

GRAINS-Corn up after deep losses, forecasts of U.S. rains cap gains

    SINGAPORE, Aug 15 (Reuters) - Chicago corn rose for the first time in four sessions on Thursday
as bargain buying lifted prices, although gains were limited by expectations of favourable rains
across the U.S. Midwest. 
    Wheat and soybeans edged higher in early Asian trade.
    
    FUNDAMENTALS
    * Forecasts for some rain in key growing areas of the U.S. Midwest in the coming weeks is
adding pressure on the corn market and bolstered the bearish production view issued by the U.S.
Department of Agriculture on Monday.
    * The Chicago Board of Trade corn futures dropped to their lowest since mid-May on
Wednesday, having lost more than 11% in the last three sessions. 
    * The USDA surprise boost to its corn production forecast continues to hang over the market.
    * Analysts were expecting a USDA report later on Thursday to show weekly export sales of
soybeans between 150,000 tonnes and 700,000 tonnes. A week ago, soybean export sales totalled
419,914 tonnes.
    * Wheat harvesting is coming to an end in the European Union's largest producing countries but
repeated rain in recent weeks is causing concern about quality loss in some areas, experts said on
Wednesday.
    * Harvesting is almost finished in France, Germany and Poland but rain is interrupting work in
Britain.
    * German wheat exporters are seeking access to new markets including China, Mexico and
Indonesia, an industry association said, following signals that Saudi Arabia is about to open up to
imports from Russia.
    * Saudi Arabia has been Germany's biggest market for wheat exports in recent years, but German
firms face much tougher competition after Saudi state grain buyer SAGO said last Thursday that it
will relax quality specifications for wheat imports from its next tender.
    * Commodity funds were net sellers of CBOT corn, soybean, soymeal and soyoil futures contracts
on Wednesday. They were net buyers of wheat, traders said.              
    
    MARKET NEWS
    * Global stocks slumped to more than two-month lows in early Asian trade on Thursday, tracking
the Wall Street slide as an inverted U.S. bond yield curve sent a flashing warning to investors
about rising recession risks.
    
    DATA/EVENTS (GMT)
0130   Australia  Employment                 July
0130   Australia  Unemployment Rate          July
0830   UK         Retail Sales MM, YY        July
0830   UK         Retail Sales Ex-Fuel MM    July
1000   EU         Reserve Assets Total       July
1230   US         Initial Jobless Claims     Weekly
1230   US         Philly Fed Business Index  August
1230   US         Retail Sales MM            July
1315   US         Industrial Production MM   July
    
 Grains prices at 0124 GMT
 Contract    Last    Change  Pct chg  Two-day chg  MA 30   RSI
 CBOT wheat  475.00  1.25    +0.26%   +0.64%       495.81  38
 CBOT corn   373.00  2.75    +0.74%   -0.93%       422.20  21
 CBOT soy    881.25  3.25    +0.37%   -0.87%       894.70  47
 CBOT rice   11.45   -$0.05  -0.43%   -0.04%       $11.78  40
 WTI crude   54.98   -$0.25  -0.45%   -3.71%       $56.39  
 Currencies                                                
 Euro/dlr    $1.114  $0.001  +0.04%   -0.23%               
 USD/AUD     0.6756  0.001   +0.13%   -0.65%               
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per
 hundredweight
 RSI 14, exponential
 
 (Reporting by Naveen Thukral; editing by Uttaresh.V)
  
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