By Colin Packham
CANBERRA, Could 18 (Reuters) – U.S. corn futures rose 1.5% on Tuesday after the U.S. Division of Agriculture (USDA) pegged planting progress behind market expectations, stoking issues over international provide.
Wheat rose 1% whereas soybeans additionally climbed 1%.
Essentially the most-active corn futures on the Chicago Board Of Commerce Cv1 have been up 1.5% at $6.62-1/2 a bushel by 0422 GMT, having closed 1.4% increased within the earlier session shortly after costs hit an April 28 low of $6.33.
The USDA stated U.S. farmers had planted 80% of their supposed corn acres, as of Sunday, up from 67% every week earlier and the five-year common of 68%. Nevertheless, analysts polled by Reuters had anticipated a variety of 79% to 88%.
Considerations about international provide shortfalls arose amid robust international demand. In the meantime, the USDA planting progress report has been driving up features, in accordance with merchants and analysts.
“World provides are tight, and the USDA report is fuelling that,” stated Phin Ziebll, agribusiness economist, Nationwide Australia Financial institution.
Personal exporters reported the sale of 1.7 million tonnes of corn to China for supply within the 2021/22 advertising and marketing 12 months, the U.S. Agriculture Division stated. It was the fourth corn sale of greater than 1 million tonnes to China this month.
Essentially the most-active wheat futures Wv1 have been up 1.2% at $7.08 a bushel, having closed down 1.1% on Monday.
The USDA rated 48% of the winter wheat crop in good-to-excellent situation, down 1 proportion level from the earlier week. Analysts polled by Reuters, on common, anticipated the winter crop situation to enhance by 1 proportion level.
Essentially the most-active soybean futures Sv1 have been up 0.5% at $15.95-1/Four a bushel, having closed flat within the earlier session.
Soybean planting was 61% full, as of Sunday, forward of the typical analysts’ estimate of 60% and nicely above the five-year common of 37% planted.
U.S. soy processors crushed fewer soybeans than anticipated in April, with the month’s crush quantity sinking to the second lowest in 19 months, information launched by the Nationwide Oilseed Processors Affiliation confirmed. Soy processor downtime and tight shares of the oilseed restricted the crushing tempo.
(Reporting by Colin Packham, Enhancing by Sherry Jacob-Phillips)
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