US corn futures climbed modestly on Wednesday and soyabean prices were mostly lower as traders adjusted positions before US Agriculture Department stocks and acreage reports due out at the end of the week. Nearby corn and soya contracts were firmer as the report was expected to confirm the tightest stocks in years of both commodities.
Deferred corn contracts were only slightly higher while back-month soyabean futures fell as adverse planting weather was expected to prompt USDA to cut its corn planting estimate and boost soyabean acres. Warm, wet weather around the US Midwest that has bolstered development of recently planted corn and soyabeans generally anchored new-crop prices. But concerns that localised flooding in some key corn production areas could further trim acreage and yields limited selling in new-crop corn.
"The trade is starting to position themselves ahead of the reports on Friday. We expect it to remain very quiet until those reports are out," said Terry Reilly, a senior commodities analyst with Futures International. Strong corn demand from ethanol producers further underpinned nearby corn prices.
The ethanol grind rose by 12,000 barrels per day to 885,000 barrels per day on average last week, according to the US Energy Information Administration. It was the highest in three weeks and matches the grind from the week ending May 31 that was the largest in nearly a year. Chicago Board of Trade July corn gained 5-1/2 cents, or 0.8 percent, to $6.62-1/4 a bushel by 10:43 am CDT (1543 GMT) while new-crop December added 3/4 cent to $5.45-1/4.
CBOT July soyabeans were 1/2 cent higher at $15.25-3/4 a bushel while new-crop November fell 8-1/2 cents, or 0.7 percent, to $12.70 a bushel. CBOT wheat futures fell for a fifth consecutive session, weighed down by continued talk of larger-than-expected yields from the advancing US harvest. CBOT July wheat fell 4-1/2 cents, or 0.7 percent, to $6.7