US MIDDAY: corn, soyabean futures rally

30 May, 2019

US soyabean futures rose 2.2 percent on Wednesday, hitting their highest since mid-April on support from concerns that planting delays in the US Midwest will lead to a sharp cutback in acreage as well as harvest yields, traders said. Corn futures also were higher following a US Agriculture Department report that showed farmers still had 39 million acres of corn to plant. But the corn market was trading well below three-year highs hit earlier in the session as the rally prompted a round of farmer sales in the country.
At 10:52 a.m. CDT (1552 GMT), Chicago Board of Trade July soyabean futures were up 20-3/4 cents at $8.76-3/4 a bushel. The most active soyabean contract topped out at $8.92-3/4 a bushel, the highest since April 16. CBOT July corn was 2-1/4 cents higher at $4.22-1/2 a bushel The most active contract peaked at $4.38 a bushel, its highest since June 2016. Corn briefly turned lower on a round of profit-taking.
USDA said on Tuesday afternoon that 58% of the corn crop was planted as of May 26, well below the average pace of 90% at this time of the year. The agency, after the market closed on Tuesday, said 29% of the soyabean crop was planted, well below the average of 66%. Analysts had been expecting corn planting to be 63% complete and soyabean planting to be 31% complete.
Wheat futures were lower on profit-taking after two days of strong gains pushed the most active contract to a 3-1/2-month high. CBOT July soft red winter wheat futures were down 6-1/4 cents at $4.98-1/2 a bushel.

Read Comments