GRAINS-Chicago futures drift as focus shifts to USDA data


Band Gus Trompiz and Enrico Dela Cruz

April 7 (Reuters)Chicago wheat, corn and soybean futures were little changed on Thursday as traders awaited U.S. government supply and demand data to assess the potential impact of the war in Ukraine and trends planting in the United States.

Chicago Board of Trade (CBOT) most active wheat contract Wv1 was up 0.1% at $10.42 a bushel at 11:21 GMT.

CBOT soybeans Sv1 edged up 0.3% to $16.24 a bushel, while corn CV1 edged down 0.2% to $7.54-3/4 a bushel.

Grain prices in Chicago rallied earlier this week, buoyed by concerns over a protracted conflict in Ukraine and weather risks in US crop belts, before consolidating since Wednesday.

Grain markets turn their attention to the monthly world crop report released Friday by the United States Department of Agriculture (USDA).

Ahead of that, the USDA will release its weekly export sales report later Thursday.

Russia’s invasion of Ukraine six weeks ago disrupted global grain supplies already seen by analysts as relatively tight in key export areas.

The current supply and demand situation has become “difficult to completely reverse in the short term”, analysts at Zhongzhou Futures in China said.

Russia and Ukraine are two major exporters of wheat, corn and sunflower oil.

The continuation of the war has led analysts to forecast reduced Ukrainian export capacity for 2022/23 as well as the rest of this season, with traders’ efforts to use non-sea export routes from Ukraine generating limited volumes so far.

Analysts and traders are also pricing in the broader supply outlook in the United States and Europe as the spring growing season kicks off in the Northern Hemisphere.

Poor conditions for US winter wheat in drought-affected areas and forecasts of reduced corn plantings due to fertilizer costs have created uncertainty about US supply potential.

Price at 11:21 GMT

Last

Change

Move Percentage

End of 2021

Cumulative percentage shift

CBOT wheat Wv1

1042.00

1.25

0.12

770.75

35.19

CBOT corn CV1

754.75

-1.75

-0.23

593.25

27.22

CBOT soybeans Sv1

1624.00

4.50

0.28

1339.25

21.26

Paris wheat BL2c1

366.25

2.25

0.62

276.75

32.34

Corn from Paris EMAc1

316.00

-3.50

-1.10

226.00

39.82

Paris rape COMc1

959.75

6.25

0.66

754.00

27.29

WTI crude oil CLc1

97.66

1.43

1.49

75.21

29.85

euro/dlr USD=

1.09

0.00

-0.02

1.1368

-4.20

Most active contracts – Wheat, corn and soybeans US cents/bushel, Paris futures in euros per tonne

(Reporting by Gus Trompiz in Paris and Enrico Dela Cruz in Manila; Editing by Subhranshu Sahu, Sherry Jacob-Phillips and David Evans)

((gus.trompiz@thomsonreuters.com; +33 1 49 49 52 18; Reuters Messaging: gus.trompiz.thomsonreuters.com@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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