By Tom Polansek
CHICAGO, July 2 (Reuters) – Chicago Board of Commerce soybean futures on Friday prolonged a rally fueled by lower-than-expected U.S. acreage estimates and dry climate in a part of the Midwest, whereas corn futures pulled again.
Wednesday’s decrease than anticipated plantings estimates from the U.S. Division of Agriculture have made the markets extra delicate to dryness in northern and western parts of the U.S. crop belt.
Dry climate prevails within the corn belt, in response to a every day USDA climate report. Heat climate and restricted soil moisture are sustaining stress on summer time crops in drought-affected areas of the higher Midwest, the report stated.
The danger of frost injury to Brazil’s second corn crop, already diminished by drought, has additionally fanned corn provide fears this week.
“The main target now returns to the drying northwest of the U.S. Midwest,” stated Tobin Gorey, director of agricultural technique at Commonwealth Financial institution of Australia.
Probably the most energetic corn contract on the CBOT Cv1 was down Three cents at $5.86 a bushel by 8:50 a.m. CDT (1350 GMT). Soybeans Sv1 had been up 6 cents at $14.01-1/2, whereas wheat Wv1 was 4-3/Four cents decrease at $6.60-3/4.
Some merchants had been taking cash off the desk after beneficial properties earlier this week. Merchants are additionally adjusting positions as a result of markets will probably be closed on Monday for the Independence Day vacation in america.
“For at present’s session probably the most curiosity will fall on positioning for the lengthy vacation weekend,” stated Karl Setzer, commodity threat analyst for AgriVisor.
Most energetic Chicago corn futures Cv1https://tmsnrt.rs/3AkoJWk
(Reporting by Tom Polansek in Chicago and Gus Trompiz in Paris, modifying by Louise Heavens and Steve Orlofsky)
(([email protected]; https://twitter.com/tpolansek))
The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.