SINGAPORE, Jan 5 (Reuters) – Chicago soybean rose for a third consecutive session on Wednesday, with prices buoyed by dry weather in parts of South America that could hurt yields and tighten world supplies.
The corn market lost ground.
FUNDAMENTALS
* The most-active soybean contract on the Chicago Board of Trade (CBOT) Sv1 rose 0.1% to $13.91 a bushel as of 0132 GMT, not far from last session’s highest since July 21 at 13.92-1/4 a bushel.
* Corn Cv1 slid 0.1% at $6.09 a bushel and wheat Wv1 was unchanged at $7.70 a bushel.
* Forecasts are calling for hot and dry weather in Argentina and southern Brazil, after beneficial rains last week, while early harvest in northern Brazil has been slowed by precipitation.
* Brazil’s corn and soybean crop forecasts were scaled back on Monday by consultancy StoneX, with the country’s soybean crop lowered to 134.0 million tonnes, from 145.1 million in December and its corn crop dropped to 117.5 million tonnes, from 120.1 million in December.
* Traders anticipate a slew of U.S. Department of Agriculture reports due on Jan. 12, including updated U.S. 2021 crop production figures, as well as Dec. 1 quarterly stocks and updated South American crop estimates.
* The wheat market is being supported by tightening world supplies. Condition ratings for winter wheat fell sharply during December in Kansas and Oklahoma, the top two U.S. winter wheat producers, the U.S. Department of Agriculture (USDA) said on Monday.
* Commodity funds were net buyers of CBOT corn, soybean, soyoil, wheat and soymeal futures contracts on Tuesday, traders said. COMFUND/CBT
MARKETS NEWS
* Wall Street’s optimistic start to the New Year continued on Tuesday as prices for some stocks, oil and the dollar advanced, but investors dialled back risk-taking elsewhere as data showed U.S. manufacturing slowed and COVID-19 spread. MKTS/GLOB
DATA/EVENTS (GMT, Dec)
0850 France Markit Serv, Comp PMIs
0855 Germany Markit Services PMI
0855 Germany Markit Comp Final PMI
0900 EU Markit Serv, Comp Final PMIs
1445 US Markit Serv, Comp Final PMIs
1900 US Federal Open Market Committee will release
the minutes from its Dec. 14 – 15 policy meeting
(Reporting by Naveen Thukral; editing by Uttaresh.V)
(([email protected]; +65-6870-3829; Reuters Messaging: [email protected]))
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