US corn futures fell nearly 1 percent on Monday, with nearby months hitting contract lows as the harvest of a bumper crop picked up speed in the Midwest and early yield reports were strong, traders said. Soyabean futures also declined on harvest progress, along with disappointing US soya crush data and ongoing concerns about US trade disputes with top global soya buyer China. Wheat slipped as well. Traders awaited news on an expected new round of tariffs from Washington on Chinese goods, which would escalate a simmering US-Sino trade dispute. US President Donald Trump was expected to announce new tariffs on $200 billion in Chinese goods as early as Monday, and China has said it would retaliate.
As of 12:57 p.m. CDT (1757 GMT), Chicago Board of Trade December corn was down 2-3/4 cents at $3.49 a bushel after dipping to $3.48-1/4, a contract low. November soyabean futures were down 4 cents at $8.26-1/2 a bushel, hovering above a contract low set last week at $8.21-1/4. CBOT December wheat was down 1 cent at $5.10-1/2.
Corn fell on a mix of technical selling and seasonal pressure as combines rolled in the Midwest. The US Department of Agriculture last week projected the average US corn yield at 181.3 bushels per acre and the average soyabean yield at 52.8 bushels per acre, both record highs.
Soyabean futures were also pressured by a lower-than-expected monthly crush figure. The National Oilseed Processors Association said its members crushed 158.885 million bushels of soyabeans in August, a figure that fell below a range of trade expectations.
However, the figure still represented NOPA's largest August total on record, reflecting strong profit margins that encouraged an active crush pace. CBOT wheat futures were lower but the December contract held above last week's two-month low, underpinned by uncertainty about supplies in major exporters Russia and Australia. Possible frost damage over the weekend in western Australia was threatening to further dent a crop already diminished by drought in the east.
Comments
Comments are closed.