Corn futures at the Chicago Board of Trade gained nearly 2 percent early on Tuesday on slow seedings of the US corn crop and forecasts for more wet weather in early May, traders said. At 10:39 am CDT (1539 GMT), CBOT corn was up 2-1/2 to 7 cents per bushel, with May up 7 at $3.59-1/4 per bushel. New-crop December was up 4-1/2 at $3.73.
USDA on Monday, in its weekly crop progress report, said 11 percent of the US corn crop had been planted, below the 22 percent five year average and below trade estimates for 13 to 17 percent. Wet and cold weather has been slowing corn plantings at a time farmers face the challenge of sowing the largest amount of their land to corn since 1944 to meet the surging demand for corn from the ethanol industry.
Farmers need to complete corn plantings by roughly mid-May to attain maximum yield potential. USDA also said 3 percent of the crop had emerged, below the 5 percent five-year average.
Showers this week will again slow corn seeding in the US Midwest, but the long-term outlook for next week indicates warmer and drier weather which will boost planting progress, DTN Meteorlogix weather said on Tuesday. However, there are forecasts for wet weather again in early May, which could slow down corn plantings and begin to trim production potential. Oat futures were up 3/4 cent to down 1, with July up 3/4 at $2.58-1/2.
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