US corn futures fell on Thursday, breaking a three-day streak of gains, as a pick-up in country movement of the yellow grain pulled prices from one-month highs hit early in the session, traders said. Wheat and soyabean futures closed firm, bouncing back from declines on Wednesday on a round of bargain buying. The lower close in corn was its first since January 11. Corn closed unchanged on Jany 14.
"Corn rallied early in the session, reacting to a macro rebound, but ran straight into some farmer selling on the rally that backed us off late in the day," said Charlie Sernatinger, global head of grain futures at ED&F Man Capital. Chicago Board of Trade March corn futures closed down 1-3/4 cents at $3.67 a bushel. Prices peaked at $3.71-1/2 a bushel, their highest since December 22.
Declines were kept in check by traders that were unwinding bearish bets they placed following a huge US harvest last fall. Additionally, some concerns about tighter-than-expected global supplies lent support. The International Grains Council on Thursday cut its forecast for world corn (maize) production in 2015-16 by 8 million tonnes to 959 million, mainly due to poorer harvests in India and drought-hit South Africa.
CBOT March soyabeans closed 4-1/2 cents higher at $8.78-1/2 a bushel. Dealers said the soyabean market was underpinned by demand ahead of next month's Spring Festival, or Chinese Lunar New Year, celebrations. "For soyabeans, China's crush margins have improved which is boosting demand as people buy for the spring festival. Chinese customers are buying US soyabeans," said Kaname Gokon from brokerage Okato Shoji in Tokyo.
Wheat prices also closed higher despite US offerings on the export market again being snubbed by top buyer Egypt. The country's state grain buyer on Thursday said it bought 235,000 tonnes of wheat from Romania, France and Russia in its latest deal. South Korea's Samyang Corp did buy 23,000 tonnes of milling wheat to be sourced from the United States in a tender which closed on Thursday, traders said. CBOT March wheat ended up 3-1/2 cents higher at $4.75 a bushel.
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