- Reuters
CHICAGO: Chicago corn futures gained further after hitting six-month highs on strong demand for US supplies and bargain-buying.
Wheat rose for a third consecutive session yesterday on worries over Russian supplies, while soybeans inched higher after closing lower in the last session.
The most-active corn contract on the Chicago Board of Trade (CBOT) rose 0.2% to US$4.54-¾ a bushel, having hit its highest since mid-June at US$4.55 a bushel in the previous session.
Wheat gained 0.4% to US$5.48-½ a bushel and soybeans added a quarter of a US cent to US$9.90 a bushel.
The corn market is drawing support from robust export demand.
The US Department of Agriculture reported export sales in the week to Dec 19 were 1.7 million tonnes, topping a range of trade expectations for one million tonnes to 1.6 million tonnes.
Corn prices have an upside potential on bargain-buying as the market dropped to a four-year low in August.
End users of the grain have since been taking advantage of the dip, booking purchases in case South American corn harvests falter.
Conditions for winter wheat crops will worsen in Russia’s Central and Volga areas in January as warmer-than-usual weather and excess moisture cause sprouts to keep growing during the winter, the state weather agency said on Saturday.
Soybean futures have faced pressure in recent weeks on optimism about soybean production in Brazil, the world’s top supplier.
Commodity funds were net buyers of CBOT corn, wheat and soyoil futures contracts last Friday and net sellers of soybean and soymeal futures. — Reuters
