Corn at six-week high

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SINGAPORE- Chicago corn jumped to its highest level in more than one month on Tuesday, gaining 2.4 percent after a US government report showed the crop condition worsened amid hot and dry weather in key regions across the Midwest.

Wheat and soybeans rose more than 1 percent each.

“The market has focused on reports coming from scouts in the western Midwest,” said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia.

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“Crop problems are suspected of being greatest in that region and the reports coming back so far mostly bad.”

The Chicago Board of Trade (CBOT) most-active corn contract was up 2.4 percent at $6.44-1/4 a bushel, after climbing earlier in the session to the highest since July 11 $6.44-3/4 a bushel.

Wheat rose 1.3 percent to $7.98-1/4 a bushel and soybeans added 1.2 percent to $14.53 a bushel.

Condition ratings for corn and soybeans declined in the latest week, the US Department of Agriculture (USDA) said after the market closed on Monday, bucking analyst expectations for no change as stressful dry conditions continued to impact crops.

In its weekly crop progress report, the USDA rated 55 percent of the US corn crop in good-to-excellent condition, down from 57 percent the previous week. For soybeans, the government rated 57 percent of the crop as good-to-excellent, down from 58 percent previously.

South Dakota corn yield prospects and soybean pod counts are well below last year and the three-year average, scouts on an annual tour of top US producing states found on Monday.

South Dakota corn yields were projected at 118.45 bushels per acre (bpa), the Pro Farmer Midwest Crop Tour said on Monday evening, the worst on the tour since 2012 and well below the 2021 crop tour average of 151.45 bpa and the three-year crop tour average of 161.59 bpa. — Reuters

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