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GRAINS-Wheat eases for 2nd day, corn at 3-wk low on improved weather outlook
June 22, 2017 / 3:23 AM / 6 months ago

GRAINS-Wheat eases for 2nd day, corn at 3-wk low on improved weather outlook

    * Wheat extends decline, falls further from 1-yr peak
    * Wheat market waits to assess damage from unfavourable
weather
    * Corn drops for 4th session on outlook for better weather

 (Adds comment, detail)
    By Naveen Thukral
    SINGAPORE, June 22 (Reuters) - Chicago wheat futures slid
for a second session on Thursday as the market took a breather
after climbing to a one-year high earlier this week, with
traders pausing to assess damage from unfavourable weather
across the United States and Europe.
    Corn fell for a fourth consecutive day to a three-week low
on an outlook for favourable weather across the U.S. Midwest
during the crop's critical phase of development.
    The most-active wheat contract on the Chicago Board of Trade
 had declined 0.4 percent to $4.62-1/2 a bushel by 0257
GMT, having closed down 1.7 percent on Wednesday. 
    The market climbed to its highest since June last year at
$4.74-3/4 a bushel on Tuesday.
    Corn gave up 0.1 percent to $3.68-1/4 a bushel, after
earlier in the session marking its weakest since June 1 at
$3.67-3/4 a bushel.
    Soybeans were little changed at $9.19 a bushel, after
closing down 1 percent on Wednesday.
    "The market has already cut forecasts of high protein spring
wheat from Canada and the U.S.," said Tobin Gorey, director of
agricultural strategy at Commonwealth Bank of Australia in
Sydney.
    "The U.S. corn crop faces few major weather issues for now. 
Producers and traders are thus more likely to sell more as they
position themselves for a sizeable crop."
    The rally in wheat this month has been fuelled by
deteriorating conditions for U.S. spring wheat in the northern
Plains and concerns over the impact of a heat wave in France,
the European Union's top producer.
    The U.S. corn crop is expected to face benign weather in
July, the crop's yield-determining phase.
    The U.S. Department of Agriculture has projected the U.S.
2017 corn yield at 170.7 bushels per acre.
    Traders were also starting to adjust positions ahead of the
USDA's closely watched June 30 acreage and quarterly stocks
reports.
    Commodity funds were net sellers of CBOT soybean, corn and
wheat futures contracts on Wednesday, traders said.
    Trader estimates of net fund activity in corn ranged from
funds selling 15,000 contracts to buying 3,000 contracts.
Estimates of net fund selling in soybeans ranged from 5,000 to
15,000 contracts.

 Grains prices at  0257 GMT
 Contract    Last    Change   Pct chg  Two-day chg  MA 30   RSI
 CBOT wheat  462.50  -2.00    -0.43%   -0.96%       438.81  62
 CBOT corn   368.25  -0.50    -0.14%   -1.87%       374.06  37
 CBOT soy    919.00  0.25     +0.03%   -2.00%       940.18  33
 CBOT rice   11.20   $0.03    +0.22%   -2.78%       $11.04  50
 WTI crude   42.47   -$0.06   -0.14%   -1.76%       $47.33  21
 Currencies                                                 
 Euro/dlr    $1.117  -$0.003  -0.26%   +0.22%               
 USD/AUD     0.7547  -0.007   -0.91%   -0.38%               
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per
 hundredweight
 RSI 14, exponential
    

 (Reporting by Naveen Thukral; Editing by Joseph Radford)
  

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