Corn and soybean futures ended higher on Tuesday, with US Midwest weather offering support. Wheat also closed with gains.
Corn moved higher as forecasts suggest more dry weather ahead for the next couple of weeks. This afternoon’s USDA crop progress report is expected to show another 1-2-point decline in the condition of the American crop, following a 2-point fall the previous week. Improving export demand was also supportive for corn. December and March corn each gained 8 ¼ cents to close at $4.09 ¼, and $4.27 ¼, respectively.
In addition to the weather, soybeans got a boost from the USDA’s announcement this morning of a private export sale of 132,000 tonnes to China. News that China is launching an anti-dumping investigation against Canadian canola added to the upside, with some traders and analysts expecting China may seek alternative oilseeds, like soy. Dryness in Brazil was another underpinning factor. November beans gained 12 cents to $10.12, and January was 12 ½ cents higher at $10.29 ½.
Wheat was lifted by short covering, as well as the strength in corn. December Chicago closed 15 ¼ cents higher at $5.66 ¾, December Kansas City was up 11 cents at $5.76 ¼, and December Minneapolis gained 6 ¾ cents to $6.07 ¼.
