US wheat futures fell to a three-month low on Tuesday, pressured by ample global supplies and technical selling, analysts said. Corn futures turned lower, erasing early advances as wheat sagged and storms brought crop-friendly rains to the Midwest. But soyabean futures clung to modest gains, supported by declining US crop ratings and uncertain yield prospects.
As of 12:23 pm CDT (1723 GMT), Chicago Board of Trade December wheat was down 7 cents at $4.65-1/2 per bushel after dipping to $4.63-1/2, the contract's lowest level since May 14. CBOT December corn was down 4-1/2 cents at $3.70 a bushel, but stayed just above last week's multi-month low of $3.69. CBOT November soyabeans were up 2 cents at $8.68-1/2 a bushel. Wheat led the way down as traders considered global stockpiles. The US Department of Agriculture this month trimmed its projection of 2019/20 world wheat ending stocks to 285.4 million tonnes, down from 286.46 million in July, but still record-large.
Along with the setback in wheat, corn fell and soyabeans pared gains as storms crossed Illinois and parts of Missouri, Minnesota and Wisconsin, bringing beneficial moisture to late-developing crops.
After a wet spring, the latest weekly US Drought Monitor showed abnormal dryness across 53% of Iowa and 44% of Illinois, the top two producers of corn and soyabeans, by Aug. 13. The USDA's weekly crop progress report late on Monday rated 56% of the US corn crop and 54% of the soyabeans in good-to-excellent condition, each down 1 percentage point from a week ago. Analysts had expected no change.
CBOT soya and corn futures drew early support from Monday's crop ratings and news that the annual Pro Farmer Midwest Crop Tour found below-average yields in its first day of scouting.
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