Corn, wheat futures gain on Russia, Ukraine output concerns
Tuesday, 11 August 2009
SINGAPORE, Aug. 10 (Bloomberg): Corn and wheat futures gained, reversing earlier declines, on concern dry weather in major exporters Russia and Ukraine, will damage crops, curbing supply.
South and east Ukraine and South Russia are not likely to have enough rain in the seven days through Aug. 14, and "major losses to corn" are expected, weather forecaster DTN Meteorlogix LLC said in a report Aug. 7. "Significant crop losses" were seen in spring wheat areas in Russia and Kazakhstan because of dry weather, DTN said.
"Adverse weather conditions in major growing regions around the world can be a bullish factor by negatively impacting on yield prospects," CWA Global Markets Pty said in a report e- mailed today. Russia is the world's second-largest exporter of wheat and Ukraine is the fourth-largest corn shipper, according to the U.S. Department of Agriculture.
Corn for December delivery gained as much as 1.2 per cent to $3.3025 a bushel, reversing a 1.6 per cent decline earlier. The most-active contract traded at $3.285, up 0.6 per cent, in after- hours electronic trading on the Chicago Board of Trade at 2:11 p.m. Singapore time. The grain rose for the first day in five.
Wheat for December delivery gained as much as 0.8 per cent to $5.2075 a bushel in Chicago, after losing as much as 0.9 per cent earlier. The most-active contract last traded at $5.1875 a bushel, up 0.4 per cent.
Soybeans for November delivery, after harvests in the U.S., were little changed at $10.39 a bushel at 2:22 p.m. Singapore time after slumping 2.6 per cent to $10.12, the lowest level since Aug. 3 for the most-active contract. The oilseed rose 5.8 per cent last week, the second straight weekly advance.
South and east Ukraine and South Russia are not likely to have enough rain in the seven days through Aug. 14, and "major losses to corn" are expected, weather forecaster DTN Meteorlogix LLC said in a report Aug. 7. "Significant crop losses" were seen in spring wheat areas in Russia and Kazakhstan because of dry weather, DTN said.
"Adverse weather conditions in major growing regions around the world can be a bullish factor by negatively impacting on yield prospects," CWA Global Markets Pty said in a report e- mailed today. Russia is the world's second-largest exporter of wheat and Ukraine is the fourth-largest corn shipper, according to the U.S. Department of Agriculture.
Corn for December delivery gained as much as 1.2 per cent to $3.3025 a bushel, reversing a 1.6 per cent decline earlier. The most-active contract traded at $3.285, up 0.6 per cent, in after- hours electronic trading on the Chicago Board of Trade at 2:11 p.m. Singapore time. The grain rose for the first day in five.
Wheat for December delivery gained as much as 0.8 per cent to $5.2075 a bushel in Chicago, after losing as much as 0.9 per cent earlier. The most-active contract last traded at $5.1875 a bushel, up 0.4 per cent.
Soybeans for November delivery, after harvests in the U.S., were little changed at $10.39 a bushel at 2:22 p.m. Singapore time after slumping 2.6 per cent to $10.12, the lowest level since Aug. 3 for the most-active contract. The oilseed rose 5.8 per cent last week, the second straight weekly advance.