By Michael Hogan HAMBURG, Jan 5 (Reuters) - Chicago soybean
By Michael Hogan
HAMBURG, Jan 5 (Reuters) – Chicago soybeans and corn rose on Tuesday, remaining close to 6-1/2 yr highs hit on Monday, as considerations about South American crops and disruptions to exports supported costs.
Wheat rose because the weaker greenback supported grains and soybeans, making U.S. exports extra enticing in export markets.
Chicago Board of Commerce most-active soybeans Sv1 rose 1.2% to $13.30 a bushel at 1223 GMT. Soybeans on Monday hit $13.49-1/2 a bushel, the best since June 2014.
Corn Cv1 rose 0.2% to $4.85 a bushel, after on Monday hitting $4.97-3/4, additionally a 6-1/2 yr excessive. Wheat Wv1 rose 1.1% to $6.49-1/Four a bushel.
Brazil’s soybean harvest began slowly in some areas in prime producer Mato Grosso state. Native farmers say harvesting is behind final yr’s tempo resulting from scarce rainfall earlier within the season.
“Soybeans are supported once more by concern concerning the Brazilian crop being lowered by current dry climate,” mentioned Matt Ammermann, StoneX commodity danger supervisor.
“Some Brazilian crop estimates are being lowered however there may be concern available in the market that bigger cuts in forecasts of Brazil’s soybean crop could possibly be on the best way.”
Argentina will droop gross sales of corn for export till Feb. 28 as the federal government seeks to make sure ample home meals provides.
“Corn is seeing help from concern about dryness in Argentina and the ban on Argentine corn exports,” Ammermann mentioned. “Argentina has had some rain however the debate is whether or not that is sufficient as some areas are wanting dry.”
“Wheat is being supported by the greenback’s weak point which is optimistic for U.S. exports as Russia’s export tax approaches in February.”
“Export limitations on Argentine wheat are feared if antagonistic climate persists given their actions with corn final week. The query can also be when will Russia return to export markets, however within the meantime U.S. wheat export prospects are wanting optimistic.”
(Reporting by Michael Hogan in Hamburg, extra reporting by Naveen Thukral in Singapore, Enhancing by David Evans)
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