SINGAPORE- Chicago corn futures slid more than 1 percent on Tuesday, as investors took a breather after prices hit a more than two-month high in the previous session on support from the deteriorating condition of the US crop.
Wheat dipped but traded close to a seven-week top marked in the previous session, while soybeans slid for a second straight session.
“The market is still absorbing the likely lower US corn crop after last week’s Pro Farmer crop tour revealed a much lower yield estimate,” said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia.
“The USDA (US Department of Agriculture) published their weekly crop survey after the close of trading (on Monday). The survey showed another one percentage point fall in the good or excellent proportion to 54 percent. The fall, while small, will add weight to the bad news trend and likely support prices.”
The most-active corn contract on the Chicago Board of Trade (CBOT) slid 1.2 percent to $6.74-1/2 a bushel. The market climbed to its highest since late June on Monday.
Wheat fell 1 percent to $8.34-1/2 a bushel and soybeans lost 1.3 percent to $14.19-3/4 a bushel.
The USDA, in a weekly report, rated 54 percent of the nation’s corn crop in good-excellent condition, down from 55 percent a week earlier and in line with analysts’ estimates. – Reuters
