Singapore: US corn futures rose for a second session on Wednesday, underpinned by bargain-buying after prices slid to a six-week low earlier this week, although expectations of ample global supplies capped gains.
Soybeans also rose after sliding for the past three sessions, while wheat gained 0.6 per cent.
Chicago Board of Trade September corn rose 0.3 per cent to $3.70 (Dh13.60) a bushel by 0259 GMT after dropping on Monday to its lowest since June 23.
August soybeans added 0.4 per cent to $9.80 a bushel and wheat gained 0.6 per cent to $4.96-1/2 a bushel.
“Demand for US corn is improving after a steep decline in prices,” said Kaname Gokon of brokerage Okato Shoji in Tokyo.
“There is some dryness in the eastern corn belt but the crop is largely in good shape.”
Corn and soybean prices have faced headwinds as ideal weather across the US Midwest has raised hopes for another year of record supplies.
There was support for corn from some dry conditions in parts of the eastern corn belt and as traders adjusted positions ahead of the US Department of Agriculture’s monthly supply and demand report on August 12.
Corn rating
On Tuesday commodity brokerage INTL FCStone estimated US 2015 corn production at 13.381 billion bushels, with an average yield of 165.0 bushels per acre (bpa).
It projected this year’s US soybean harvest at 3.797 billion bushels and an average yield of 45.0 bpa.
On Monday the USDA pegged 63 per cent of the soybean crop at good to excellent, up from 62 per cent a week before but below the 71 per cent last year. The corn rating steadied at 70 per cent good to excellent this week.
Ukraine exported 2.86 million tonnes of grain in July, topping officially reported figures, the UkrAgroConsult consultancy said on Tuesday.
Egypt’s General Authority for Supply Commodities set a tender on Tuesday to buy an unspecified amount of wheat from global suppliers for shipment from September 11-20. US wheat has failed to win much business in previous tenders issued by Egypt, the world’s top wheat importer.
