SINGAPORE, July 31 (Reuters) – Chicago corn slid for a
fifth consecutive session on Monday, while soybeans dropped to a
two-week low as expectations of crop-friendly weather in the
U.S. Midwest reduced concerns over supplies.
Wheat slid more than 1%, but was on track for a second month
of gains with worries over Black Sea supplies driving prices
higher in recent weeks. Corn and soybeans were also set for
monthly gains on dry U.S. weather hurting crop yields.
FUNDAMENTALS
* The most-active corn contract on the Chicago Board of
Trade (CBOT) lost 1.7% to $5.21-1/4 a bushel, as of 0014
GMT, soybeans gave up 1.3% to $13.65-1/2 a bushel and
wheat fell 0.9% to $6.98 a bushel.
In July, corn has risen more than 5%, soybeans are up 1.6%
and wheat has climbed 7%.
* Forecasts of cooler weather in the U.S. Midwest are
driving prices lower. But the market expects the U.S. Department
of Agriculture (USDA) to lower weekly condition ratings for corn
and soybean crops in a report on Monday because of the recent
heat.
* Heading into August, the key period of development for
U.S. soybean crops, much of the country is expected to get a
reprieve from significantly above-normal temperatures, the USDA
said.
* The market is monitoring the situation in Ukraine after
Russia earlier this month quit the Black Sea grain export deal
and warned that ships heading to Ukrainian seaports could be
considered military targets.
* A senior Ukrainian official on Friday accused Russia of
threatening civilian vessels in the Black Sea. The Russian
military, meanwhile, said it shot down a Ukrainian missile over
the southern Russian city of Taganrog.
* Russia’s Sovecon agriculture consultancy has raised its
wheat harvest forecast for 2023 to 87.1 million metric tons from
86.8 million, it said on Friday.
* Russia will get buyers of its farm exports to pay in
roubles rather than dollars as a way to circumvent western
sanctions, Deputy Prime Minister Viktoria Abramchenko said on
Friday.
* Large speculators trimmed their net short position in CBOT
corn futures in the week to July 25, regulatory data released on
Friday showed.
* The Commodity Futures Trading Commission’s weekly
commitments of traders report also showed that noncommercial
traders, a category that includes hedge funds, trimmed their net
short position in CBOT wheat and raised their net long position
in soybeans.
MARKET NEWS
* World shares rose while U.S. Treasury yields fell on
Friday as markets digested the Bank of Japan’s decision to tweak
its ultra-loose monetary policy as well as data showing a
continuing moderation in annual U.S. inflation.
DATA/EVENTS (GMT)
0130 China NBS Manufacturing PMI July
0900 EU HICP Flash YY July
0900 EU HICP-X F, E, A & T Flash MM, YY July
0900 EU GDP Flash Prelim QQ, YY Q2
(Reporting by Naveen Thukral; Editing by Subhranshu Sahu)
Read More: Commodities : Corn drops 1.7%, soybeans down on milder U.S. weather forecast