Corn extends gains into second session
USDA rated 64% of the U.S, corn crop good to excellent
Soybeans firm, wheat ticks higher
CANBERRA, Aug 10 (Reuters) – U.S. corn futures edged lower on Tuesday, as a U.S. Department of Agriculture (USDA) report eased concerns about the condition of crops in the United States.
Soybeans firmed, drawing support from strong Chinese demand, while wheat edged higher.
The most active corn futures on the Chicago Board Of Trade Cv1 were down 0.5% to $5.50-1/4 a bushel by 0514 GMT, after closing down 0.5% in the previous session.
Analysts said the USDA crop condition was driving the losses, with the market also eyeing the agency’s next supply and demand report which they said could move prices beyond a significant resistance.
“The most obvious disturbance to the five‑fifty force is Thursday’s (World Agricultural Supply and Demand Estimates) report. The USDA’s revised forecasts carry the potential to shift the market’s U.S. corn yield forecast and the range around that forecast,” said Tobin Gorey, director of Agricultural Strategy, Commonwealth Bank of Australia.
The USDA rated 64% of the U.S. corn crop as good to excellent, two percentage points higher from the previous week, while analysts surveyed by Reuters on average had expected no change.
The most active soybean futures Sv1 were up 0.6% at $13.37-1/4 a bushel, after ending down 0.5% on Monday.
Soybean ratings held steady, as expected, with 60% of the oilseed crop as good to excellent.
The USDA confirmed private sales of 104,000 tonnes of U.S. new-crop soybeans to unknown destinations. The announcement followed sales last week of an additional 300,000 tonnes of soybeans to unknown destinations as well as 131,000 tonnes to China.
The most active wheat futures Wv1 were up 0.1% at $7.11-3/4 a bushel, after closing 1.1% lower on Monday.
Exports from Russia were weak in July owing to delayed harvesting but are expected to speed up to between 4 million and 4.5 million tonnes in August, Sovecon said.
(Reporting by Colin Packham; Editing by Rashmi Aich)
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