GRAINS-Wheat at two-month peak on climate worries

HomeStock

GRAINS-Wheat at two-month peak on climate worries


By Gus Trompiz and Colin Packham

PARIS/CANBERRA, July 20 (Reuters)Chicago wheat futures climbed almost 2% on Tuesday to a two-month peak after official knowledge underscored poor situations for drought-hit U.S. spring wheat.

Chicago corn rose, with a decrease than anticipated weekly crop score focusing consideration again on dry situations in components of the Midwest.

Soybeans rebounded after being pressured by a slide in crude oil on Monday, with heat and dry climate forecast in northerly U.S. rising belts, elevating provide considerations within the run-up to the oilseed’s key summer season development interval. O/R

Essentially the most lively wheat futures on the Chicago Board of Commerce Wv1 have been up 1.9% at $7.11-1/Four a bushel at 1020 GMT, having earlier touched their highest since Could 18 at $7.18.

The U.S. Division of Agriculture (USDA), in a report launched after Monday’s market shut, rated 11% of U.S. spring wheat nearly as good or glorious, down from 16% every week earlier and under analysts’ common estimate of 15%.

The USDA had final week projected that U.S. spring wheat manufacturing would shrink to its lowest in 33 years.

Concern about harvest yields and high quality in Europe and the Black Sea area additionally supported wheat costs.

Kazakhstan plans to restrict exports of barley and wheat used for animal feed and ban exports of rye for six months due to drought, a Kazakh authorities supply advised Reuters.

Harvest estimates in Russia, the world’s greatest wheat exporter, have been lowered after disappointing yields in southern Russia.

In western Europe, a heat spell is permitting fields to dry out after heavy rain brought about flooding in some areas, however concern stays over lowered grain high quality for milling.

CBOT corn Cv1 was up 1.6% at $5.61-1/Four a bushel whereas soybeans Sv1 have been up 1.4% at $13.91-1/4.

The USDA left unchanged its good/glorious rating for U.S. corn at 65%, wanting an analyst consensus for 66%. It raised the soybean score by 1 level to 60%, in keeping with expectations.

“Circumstances are nonetheless a lot too dry, particularly within the north and west of the Corn Belt,” Commerzbank mentioned in a be aware.

The corn market can also be assessing harvest progress in Brazil, the place farmers are bringing in a second corn crop that has been harm by drought and frost.

Costs at 1020 GMT

Final

Change

Pct Transfer

Finish 2020

Ytd Pct Transfer

CBOT wheat Wv1

711.25

13.50

1.93

640.50

11.05

CBOT corn Cv1

561.25

9.00

1.63

484.00

15.96

CBOT soy Sv1

1391.25

18.50

1.35

1311.00

6.12

Paris wheat Sep BL2U1

216.50

2.25

1.05

192.50

12.47

Paris maize Aug EMAc1

249.00

2.00

0.81

219.00

13.70

Paris rape Aug COMc1

535.25

2.25

0.42

418.25

27.97

WTI crude oil CLc1

66.32

-0.10

-0.15

48.52

36.69

Euro/dlr EUR=

1.18

0.00

-0.03

1.2100

-2.53

Most lively contracts – Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne

(Reporting by Gus Trompiz in Paris and Colin Packham in Canberra Enhancing by David Goodman)

(([email protected]; +33 1 49 49 52 18; Reuters Messaging: [email protected]))

The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.



www.nasdaq.com