Soybean and corn futures at the Chicago Board of Trade fell to fresh contract lows in early July, as relatively favourable growing conditions and bearish technical signals weighed on values.
Chicago Board of Trade soybean futures rose on short covering on Wednesday after nearing a four-year low this week on concerns about large supplies and lackluster U.S. export demand, analysts said.
United States corn and soybean crops continued to remain at whatever whims the weather brings, according to John Weyer of Walsh Commercial Hedging Services in Chicago.
Chicago corn futures extended gains on Tuesday on short-covering and U.S. crop condition questions, while soybean prices also turned higher on technical trading and unfavorable weather in some soybean growing areas of the central U.S., traders said.
Chicago September corn CU24 plunged on Friday to contract lows after U.S. Department of Agriculture data showed far more acres planted with the grain than expected due to favorable spring weather.
The planted area for U.S. corn in 2024 was determined to be 91.5 million acres, greater than the March USDA estimate of 90.04 million as well as the trade’s average guess of 90.35 million. However, the figure was nowhere close to last year’s acreage total of 94.64 million. After the release of the report, corn prices at the Chicago Board of Trade (CBOT) reacted bearishly with contracts losing more than 20 U.S. cents per bushel.
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