Chicago corn futures continued to make gains on Thursday as investors adjusted their positions in anticipation of a U.S. government report, which is expected to reveal a decrease in inventories. Meanwhile, wheat experienced a slight decline, with tensions in the Black Sea region providing support, while soybeans remained relatively unchanged.
According to a Singapore-based trader, the focus is on the U.S. stocks report and U.S. planting progress, with expectations for an update on Brazilian production forecasts from Conab.
The most-active corn contract on the Chicago Board of Trade (CBOT) rose by 0.1% to $4.34-3/4 a bushel, while wheat fell by 0.5% to $5.56 a bushel, and soybeans remained flat at $11.64-3/4 a bushel as of 0305 GMT.
Market participants are adjusting their positions ahead of the release of the U.S. Department of Agriculture (USDA) monthly global supply-demand data and Brazilian agency Conab’s national crop forecasts. The USDA report is anticipated to indicate a decline in 2023-24 U.S. ending stocks for corn, while wheat and soybean stocks are expected to rise.
The market is also keeping a close watch on U.S. corn and soybean plantings, which are projected to accelerate in the coming weeks. Russian strikes on southern Ukraine prompted light short-covering in wheat earlier, with both countries being major grain exporters.
Furthermore, the USDA confirmed private sales of 254,000 metric tons of U.S. soybeans for delivery to undisclosed destinations in the marketing year beginning on Sept. 1, 2024. The department is scheduled to release weekly U.S. grain and soybean export sales data on Thursday.
Commodity funds were reported as net buyers of CBOT corn, wheat, and soyoil futures contracts on Wednesday, while they were net sellers of soybean and soymeal futures contracts.