CANBERRA- Chicago corn and soybean futures rose to multi-month highs on Monday after the US Department of Agriculture (USDA) cut its estimates for US production and end-of-season stocks, suggesting supply will be tighter than previously thought.
Wheat futures also rose, but prices remain near four-year lows, amid weak demand and a strong US dollar that has made US crops less competitive on the global market.
The most active corn contract on the Chicago Board of Trade (CBOT) had risen 0.7 percent to $4.73-3/4 a bushel and CBOT soybeans had gained 0.8 percent to $10.33-3/4 a bushel.
Wheat was up 0.8 percent at $5.34-3/4 a bushel.
Corn prices are at their highest since May and soybeans are their highest since November. Both are up more than 3 percent since the USDA released its estimate on Friday.
The USDA cut its 2024 corn production estimates to 14.867 billion bushels from 15.143 billion, and its soybean output forecast to 4.366 billion bushels from 4.461 billion, with both downgrades exceeding analysts’ expectations.