By Naveen Thukral
SINGAPORE, July 1 (Reuters) – Chicago corn futures rose greater than 1% on Thursday as lower-than-expected U.S. plantings raised issues over provides amid sturdy demand led by China.
Soybean and wheat costs misplaced some floor after a rally fuelled by the U.S. Division of Agriculture’s (USDA) plantings estimates and stock information.
“The planting report raises provide issues on long term,” mentioned Ole Houe, director of advisory providers at brokerage IKON Commodities in Sydney.
“However the primary focus now continues to be climate because the corn crop may swing 20-40 million tonnes on that alone.”
Probably the most-active corn contract on the Chicago Board of Commerce (CBOT) Cv1 rose 1.2% to $5.95-1/Four a bushel by 0238 GMT.
Soybeans Sv1 slid 0.6% to $13.90-1/2 a bushel and wheat Wv1 misplaced 0.6% to $6.75-3/Four a bushel.
On Wednesday, corn futures climbed by their every day exchange-imposed restrict after the USDA pegged plantings of the crop at 92.692 million acres, under analysts’ expectations for 93.787 million.
The company mentioned soybean plantings totalled 87.555 million acres, in comparison with analysts’ expectations for 88.955 million.
In its quarterly shares report, the USDA mentioned home corn provides on June 1 stood at 4.122 billion bushels, the bottom for that date since 2014.
Soybean shares got here in at a six-year low of 767 million bushels and wheat shares had been 844 million bushels, additionally the bottom in six years.
Analysts had predicted corn shares of 4.144 billion bushels, soybean shares of 787 million and wheat shares of 859 million.
The U.S. estimates are fuelling international provide issues as inventories are slim and rising areas in North and South America are grappling with unfavourable climate.
Commodity funds had been internet consumers of CBOT corn, wheat, soybean, soymeal and soyoil futures contracts on Wednesday, merchants mentioned. COMFUND/CBT
(Reporting by Naveen Thukral; Enhancing by Subhranshu Sahu)
(([email protected]; +65-6870-3829; Reuters Messaging: [email protected]))
The views and opinions expressed herein are the views and opinions of the creator and don’t essentially mirror these of Nasdaq, Inc.