Commodities
Home›Commodities›Agriculture›CBOT grains and soybeans drop as oil eases on Iran dea…
CBOT grains and soybeans drop as oil eases on Iran deal hopes
The USDA reported 61% of U.S. corn was in good-to-excellent condition as of Sunday, down from 63% a week earlier.
Chicago Board of Trade grain and soybean futures fell sharply on Tuesday, extending weakness after lower oil prices and as comments by Qatari and U.S. officials boosted hopes for a diplomatic resolution to the Iran war that could improve oil flows through the Strait of Hormuz, Reuters reported.
Wheat traders also weighed risks to Black Sea export flows linked to fighting between Russia and Ukraine, while corn and soybean markets tracked U.S. crop conditions after a hot, dry stretch in the Midwest.
After Monday’s close, the U.S. Department of Agriculture lowered its condition rating for corn for a third straight week, with 61% of the crop in good-to-excellent condition as of Sunday, down from 63% a week earlier. Corn conditions improved in parts of the eastern Corn Belt, including Ohio, Indiana and No. 2 corn state Illinois, while ratings were flat in Iowa but fell in Nebraska, Minnesota, Kansas and North Dakota.
USDA said soybean ratings held steady, after a larger-than-anticipated drop the week before, and analysts said recent rain and cooler temperatures were seen as bearish for futures. Reuters also cited a mid-season concern from trader Jim Gerlach about heat stress damage shown in photos from Indiana farmer clients, as the most-active corn contract settled down 7 cents at $4.65-1/2 per bushel and soybeans fell 14-1/2 cents to $11.77-3/4 per bushel.
Latest closeWheat $651.50 ▲1.9%|Corn $473.00 ▲7.3%|Soybeans $1,192.25 ▲1.7%