SINGAPORE- Chicago corn jumped more than 2 percent on Tuesday, with prices climbing to their highest in a week, while soybeans rose 1.8 percent after a US government report showed declining condition of both crops.
Wheat gained more ground after a Russian missile strike on the Ukrainian port of Odesa over the weekend raised doubts about implementation an agreement to open a corridor for Ukrainian grain exports.
“We reiterate that the recent ‘Black Sea Initiative’ is not an indication of a normalization of Ukrainian export flows-highlighted by Russian missile attacks on the port of Odesa the day after the signing ceremony,” analysts at J.P. Morgan said in a note.
The most-active corn contract on the Chicago Board of Trade (CBOT) was up 2.3 percent at $5.97-1/4 a bushel, as of 0356 GMT, after hitting its highest since July 19 at $5.99-1/2 a bushel.
Soybeans added 1.8 percent to $13.70-1/4 a bushel and wheat gained 1.9 percent at $7.84-1/4 a bushel.
The US Department of Agriculture’s weekly condition ratings for corn, soybeans and spring wheat on Monday fell more than most analysts expected after sweltering heat across the US Midwest and Plains.
The agency rated 61 percent of the US corn crop in good to excellent condition, down from 64 percent a week earlier, and soybean ratings fell to 59 percent good-to-excellent, from 61 percent previously.
Analysts surveyed by Reuters on average had expected the government’s ratings for each crop to decline by 1 percentage point.
