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Tuesday, May 18, 2021

GRAINS-Corn gains as U.S. planting progress lags expectations - Successful Farming

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* USDA says 80% of corn crop planted, below average estimate * Wheat also higher as U.S. winter wheat crop rating slips * Soybeans firm as market weighs vegoils rally and U.S. planting (Updates with European trading, changes byline/dateline) By Gus Trompiz and Colin Packham PARIS/CANBERRA, May 18 (Reuters) - Chicago corn futures climbed about 1.5% on Tuesday after slower than expected U.S. planting progress focused attention back on global supply risks. Wheat tracked corn higher, drawing support from a decline in the U.S. Department of Agriculture's (USDA) weekly rating of winter wheat conditions. Soybeans rose as the oilseed market weighed a surge in palm oil prices against U.S. planting progress that exceeded average analyst estimates. A sharp fall in the dollar also lent support to Chicago crop futures. The most active corn futures on the Chicago Board of Trade were up 1.7% at $7.06-3/4 a bushel by 1058 GMT. The contract had fallen on Monday to its lowest since April 28 before rebounding. The drop was in reaction to a favourable weather outlook for just-planted Midwest corn, though further hefty sales of U.S. corn to China returned attention to low U.S. stocks. The USDA's weekly crop progress report, released after Monday's market close, showed farmers had planted 80% of intended corn acres by Sunday. That was above a five-year average of 68% but below an average estimate of 84% in an analyst poll. "Global supplies are tight and the USDA report is fuelling that," said Phin Ziebll, agribusiness economist at National Australia Bank. Private exporters reported the sale of 1.7 million tonnes of corn to China for delivery in 2021/22, the USDA said on Monday. It was the fourth corn sale of more than 1 million tonnes to China this month. Tightening availability of corn helped to push Chicago futures to an eight-year high in early May. CBOT wheat was up 1% at $7.06-3/4 bushel. The USDA rated 48% of the winter wheat crop in good-to-excellent condition. That was down 1 percentage point from the previous week while analysts polled by Reuters, on average expected a one-point improvement. CBOT soybeans were up 0.8% at $15.99-3/4 a bushel. Soybean planting was 61% complete as of Sunday, ahead of the analyst estimates of 60%, according to the USDA. U.S. soy processors crushed fewer soybeans than expected in April, data released by the National Oilseed Processors Association showed. A 5% jump for palm oil futures on Tuesday underscored supply tensions in vegetable oils. Prices at 1058 GMT Last Change Pct End Ytd Move 2020 Pct Move CBOT wheat 706.75 7.00 1.00 640.50 10.34 CBOT corn 663.75 11.25 1.72 484.00 37.14 CBOT soy 1599.75 12.25 0.77 1311.00 22.03 Paris wheat Sep 217.25 2.75 1.28 192.50 12.86 Paris maize Jun 254.00 3.50 1.40 198.75 27.80 Paris rape Aug 548.25 7.25 1.34 393.00 39.50 WTI crude oil 66.67 0.40 0.60 48.52 37.41 Euro/dlr 1.22 0.01 0.46 1.2100 0.88 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne (Reporting by Gus Trompiz in Paris and Colin Packham in Canberra Editing by Sherry Jacob-Phillips and David Goodman )

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May 18, 2021 at 06:11PM
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GRAINS-Corn gains as U.S. planting progress lags expectations - Successful Farming

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