JAKARTA: Chicago corn fell for a fourth straight session on Friday and hit its lowest since November 2020, while traders awaited global supply demand estimates from the US Departement of agriculture (USDA) on Aug. 12. Soybeans and wheat futures edged higher.
“The corn and beans markets will both be looking closely at the WASDE report when it comes out. Our expectations are for big stocks, which are a pressure at a time when demand seems to be quite slow,” said Andrew Whitelaw, director at agricultural consultancy Episode 3 in Canberra.
Corn dropped 0.31% to $3.95-3/4 a bushel as of 0227 GMT and has lost 1.86% so far in the week, set to post its second consecutive weekly drop.
Wheat inched up 0.51% to $5.4-1/4 a bushel and set to post a second straight weekly gains as the contract has gained 0.23% for the week.
The most-active soybean contract on the Chicago Board of Trade (CBOT) was up 0.57% at $10.14 a bushel, however it is set to post second consecutive weekly drop as the contract has lost 1.3% so far in the week.
Forecast of lower European Union soft wheat output and exports to its lowest in six years and new tenders from Egypt and Algeria provide bullish sentiment for wheat, he added.
“At an Australian point of view, the crops are looking more and more likely of performing above average due to beneficial rainfalls which have assisted in most regions, with South Australia being the worst condition,” said Whitelaw.
Recent rains in Argentina brought relief to wheat-growing areas in the east of the country, while crops in western regions continue to worsen due to drought and cold, the Buenos Aires Grain Exchange (BdeC) said on Thursday.
Meanwhile, a pair of Argentine oilseed industry unions announced a one-day extension to an ongoing strike that has halted operations at the country’s major agricultural hubs, resulting in 36 ships facing grains loading delays in Argentina as of early Thursday.
There is a 66% chance of the La Nina weather pattern, characterized by cold temperatures in the Pacific Ocean, emerging during September-November, a US government forecaster said.
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