GRAINS-Corn, soybeans set for second weekly loss on US weather
SINGAPORE, Aug 4 (Reuters) – Chicago corn edged higher on Friday while soybeans eased, although both were on track for a second weekly decline on pressure from forecasts of cool and wet weather conditions in the U.S. Midwest.
Wheat inched higher, although it was also poised for a weekly drop on Russian export prospects.
FUNDAMENTALS
* The most-active corn contract on the Chicago Board of Trade (CBOT) Cv1 was up 0.1% at $4.93-3/4 a bushel, as of 0006 GMT, and soybeans Sv1 lost 0.2% to $13.23 a bushel.
* Wheat Wv1 rose 0.3% to $6.28-3/4 a bushel.
* For the week, corn is down nearly 7%, soybeans have given up more than 4% and wheat has lost almost 11%.
* Rains in parts of the U.S. Midwest during the crucial crop development phase are likely to improve yields.
* Private sales of 134,000 metric tons of U.S. soybeans to China, reported by the U.S. Department of Agriculture on Thursday morning, renewed optimism around export demand.
* The flash sale adds to recent export activity. The USDA reported soybean export sales for the week ended July 27 at 2.721 million metric tons, near the high-end of trade expectations.
* Wheat export sales of 421,300 metric tons were in line with expectations, while 456,400 metric tons of corn neared the low-end of predictions.
* Russia continues to export wheat through the Black Sea, adding pressure on prices.
* The United States would continue to do “whatever is necessary” to ensure Russia can freely export food if there was a revival of a deal allowing the safe Black Sea export of Ukrainian grain, U.S. Secretary of State Antony Blinken said on Thursday.
* Warm, dry weather over the last week allowed Argentine farmers to resume their wheat planting in previously muddied fields in the south of the country’s core agricultural area, the Buenos Aires Grain Exchange said Thursday in its weekly crop report.
* Commodity funds were net buyers of CBOT soybean and soymeal futures contracts on Thursday and net sellers of wheat, corn and soyoil futures contracts, traders said. COMFUND/CBT
MARKET NEWS
* U.S. shares finished with minimal losses after a day of up and down trading as U.S. bond yields hit nine-month peaks and the dollar dipped following a U.S. credit downgrade. MKTS/GLOB
DATA/EVENTS (GMT)
0600 Germany Industrial Orders MM June
0600 Germany Manufacturing O/P Cur Price SA June
0600 Germany Consumer Goods SA June
1230 US Non-Farm Payrolls July
1230 US Unemployment Rate July
(Reporting by Naveen Thukral; Editing by Sherry Jacob-Phillips)
((naveen.thukral@thomsonreuters.com; +65-6870-3829; Reuters Messaging: naveen.thukral.thomsonreuters.com@reuters.net))
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