By Naveen Thukral
SINGAPORE, Might 17 (Reuters) – Chicago corn futures slid for a fourth straight session on Monday, with the market dropping to its lowest in almost three weeks on lengthy liquidation and easing issues over provides.
Wheat fell greater than 1%, whereas soybeans additionally misplaced floor.
“The agriculture market bought a bit forward of itself,” stated Phin Ziebell, agribusiness economist at Nationwide Australia Financial institution.
“We’re seeing liquidation of lengthy positions which was triggered by U.S. forecast of upper than anticipated provides. However I do not assume there may be going to be a crash in costs. Chinese language demand will present a flooring below the market.”
Essentially the most-active corn contract on the Chicago Board Of Commerce (CBOT) Cv1 was down 0.8% at $6.38-3/Four a bushel by 0312 GMT, after hitting its lowest since April 28 at $6.33 a bushel earlier within the session.
Wheat Wv1 fell 1.6% to $6.95-3/Four a bushel and soybeans Sv1 gave up 0.4% to $15.80-1/2 a bushel.
Massive speculators reduce their internet lengthy place in CBOT corn futures within the week ended Might 11, regulatory knowledge launched on Friday confirmed.
The Commodity Futures Buying and selling Fee’s weekly commitments of merchants report additionally confirmed that non-commercial merchants, a class that features hedge funds, elevated their internet brief place in CBOT wheat and reduce their internet lengthy place in soybeans.
The U.S. Division of Agriculture (USDA) final week projected corn shares on the finish of the 2021/22 advertising and marketing 12 months at 1.5 billion bushels, above most analysts’ expectations and up from 1.257 billion bushels anticipated to stay on the finish of 2020/21.
Personal analytics agency IHS Markit Agribusiness projected U.S. 2021 corn plantings at 96.Eight million acres, up considerably from the USDA’s present forecast of 91.1 million acres.
Brazil is on observe to promote the most important quantity of soybeans to america since 2014, in response to delivery knowledge from maritime agent Cargonave, because the nation helps People fill a momentary provide hole.
Ukrainian farms have virtually accomplished 2021 early spring grain sowing, seeding greater than 1.9 million hectares (4.7 million acres) of varied crops, as of Might 13, the agriculture ministry stated on Friday.
The world included 1.33 million hectares of barley, 229,600 hectares of peas, 186,800 hectares of oats and 174,700 hectares of spring wheat, the ministry stated in a press release.
(Reporting by Naveen Thukral, Modifying by Sherry Jacob-Phillips and Rashmi Aich)
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