CANBERRA- US corn futures steadied on Tuesday, after improving crop weather in South America and expectations of increased planting by US farmers triggered a speculative sell-off that drove prices down from 18-month highs.
Wheat and soybean futures rose slightly, having been dragged down by corn in recent days, analysts said.
The most-active corn contract on the Chicago Board of Trade (CBOT) was up 0.1 percent at $4.97-1/4 a bushel, but down from a high of $5.14 hit on Friday.
“Maize has been on a strong rally in recent weeks, hitting highs not seen since August of 2023,” said Andrew Whitelaw at agricultural consultants Episode 3 in Canberra.
“This has been as a result of declining stocks but also a slight weakness in the US dollar,” he said, predicting price weakness in the coming days.
“We expect that US plantings will be up as a result of attractive pricing, and this along with rain forecasts for Argentina and Brazil is taking some of the shine off corn futures.”
Rapid planting of Brazil’s safrinha corn crop in recent weeks has also eased fears that late sowing would reduce yields, StoneX analyst Arlan Suderman wrote in a note.
