SINGAPORE- Chicago corn futures slid on Wednesday, giving up some of previous session’s strong gains on pressure from improved US crop conditions, although global supply concerns limited losses.
Soybeans rose for a second session, while wheat slid after the rally on Tuesday.
“Brazil’s second corn crop still seems to be shrinking,” Tobin Gorey, director of agricultural strategy at Commonwealth Bank of Australia, said.
“And a drier trend in the US, northern Midwest and Northern Plains is a worry if not yet an actual problem. Feed supply is tight so prices are highly sensitive to almost any crop worry.”
AgRural, a Brazilian agribusiness consultancy, on Tuesday announced a forecast reduction for the country’s second corn crop because of a severe drought, adding that yields are expected to touch a five-year low this season.
The most-active corn contract on the Chicago Board of Trade (CBOT) was down 0.5 percent at $6.85-1/4 a bushel by 0250 GMT, having gained 4.8 percent in the previous session.
Soybeans were up 0.2 percent at $15.51-3/4 a bushel, having firmed 1.2 percent on Tuesday, and wheat slipped 0.4 percent to $6.90-3/4 a bushel, having closed 4.5 percent higher on Tuesday. — Reuters
