July 29, 2020 / 12:51 AM / 14 days ago

GRAINS-Soybeans recover from near 2-week low, U.S. crop condition caps gains

SINGAPORE, July 29 (Reuters) - Chicago soybean futures rose on Wednesday, rebounding from a near two-week low hit in the previous session, although gains were curbed by expectations of a bumper U.S. harvest.

Corn ticked higher, while wheat rose for the first time in three sessions.

FUNDAMENTALS

* The most-active Chicago Board of Trade (CBOT) soybean contract added 0.1% to $8.88-1/4 a bushel by 0025 GMT, after dropping to a July 16 low of $8.83 a bushel on Tuesday.

* Wheat rose 0.3% to $5.25 a bushel and corn gained 0.2% to $3.30-3/4 a bushel.

* Forecasts called for beneficial weather in most of the U.S. crop belt, including welcome rains in the southern Midwest later this week.

* The U.S. Department of Agriculture (USDA) on Monday rated 72% of the U.S. corn and soybean crops in good to excellent condition. Both figures were up from 69% the previous week and topped a range of trade expectations.

* The USDA on Monday confirmed U.S. soybean export sales to China, along with shipments to Mexico. It was the 10th straight day that the USDA announced soybean sales to either China or unknown destinations, often believed to be China.

* The area planted with soybeans in Brazil is expected to increase by almost 3% in the next season, to a record 38 million hectares, while production is also projected to reach a historic 127.3 million tonnes, according Rabobank estimates on Tuesday.

* This year’s soft wheat harvest in the European Union is expected to be sharply lower than last year due to adverse weather conditions, with disparate results including poor crops France and southeastern EU and a better outlook in Poland and Germany.

* Egypt’s state grains buyer, the General Authority for Supply Commodities, on Tuesday bought 470,000 tonnes of wheat in an international purchase tender, including 350,000 tonnes of Russian-origin and 120,000 tonnes of Ukrainian grain.

MARKET NEWS

* An impasse in U.S. economic stimulus negotiations and mixed corporate earnings reports in Europe pushed global equities lower and sent investors into safe-haven assets like government bonds and gold, which hovered near record highs.

DATA/EVENTS (GMT) 0130 Australia CPI QQ, YY Q2 0130 Australia RBA Weighted Medn CPI QQ, YY Q2 0130 Australia RBA Trimmed Mean CPI QQ, YY Q2 1800 U.S. Federal Open Market Committee announces its decision on interest rates followed by statement (Reporting by Naveen Thukral; editing by Uttaresh.V)

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