Wheat rises on concern over Russian crops; corn, soybeans firm
By Naveen Thukral and Sybille de La Hamaide
SINGAPORE/PARIS, Sept 27 (Reuters) - Chicago wheat futures climbed on Tuesday, supported by concern over Russian supplies as some farmers are called to the army, while corn and soybeans rose from the previous session's near two-week low due to a slower-than-expected U.S. harvest. Wheat prices gained 1.5% and were set to snap a two-session losing streak.
"Agricultural markets have faced pressure in the last few sessions due to concerns over global recession," said a Singapore-based trader. "But we have a slight strength today as the U.S. harvest is slow."
The Chicago Board of Trade (CBOT) most-active corn contract was up 0.4% at $6.69 a bushel, as of 1130 GMT, and soybeans added 0.7% to $14.21-1/2 a bushel. Wheat gained 1.5% to $8.70-1/2 a bushel.
The U.S. Department of Agriculture said the corn harvest was 12% complete, as of Sunday, behind the average analyst estimate of 13% and the five-year average of 14%. The soybean harvest was 8% complete, lagging the average analyst estimate of 11% and the five-year average of 13%, the agency reported after the market closed on Monday.
Asian markets attempted to stabilise on Tuesday after a wild few days of stumbling stocks, crumbling bonds, a plunging pound and soaring dollar.
Wheat futures bounced back, shrugging upward revisions for this year's record wheat crop in Russia, the world's largest wheat exporter, as concern mounted over spring crop harvests and sowings ahead of next season. Farmers are among the Russians being drafted into the military, President Vladimir Putin told a meeting with officials on Tuesday, signalling potential further risks for the 2023 crop. Autumn is a busy season for farmers as they sow winter wheat for next year's crop and harvest soybeans and sunflower seeds. Winter grain sowing has already been significantly delayed by rains.
Ukraine on Monday urged the European Union to support its plans to make emergency paths for grain exports through the bloc permanent, with investment in at least five border terminals and a pipeline through which sunflower oil would flow. Soymeal prices in China, the world's top consumer of the animal feed ingredient, are at record highs amid rising demand from farmers after months of lackluster soybean imports. Commodity funds were net sellers of CBOT wheat, corn, soybean, soymeal and soy oil futures contracts on Monday, traders said.
Prices at 1130 GMT Last Change Pct Move CBOT wheat 870,50 12,50 1,46 CBOT corn 669,00 2,75 0,41 CBOT soy 1421,50 10,25 0,73 Paris wheat 345,75 1,50 0,44 Paris maize 334,75 0,00 0,00 Paris rapeseed 601,50 13,00 2,21 WTI crude oil 77,54 0,83 1,08 Euro/dlr 0,9636 0,00 0,31 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne.
(Reporting by Naveen Thukral in Singapore and Sybille de La Hamaide in Paris; Editing by Sherry Jacob-Phillips and Mark Potter)
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