Chicago wheat, corn and soybean futures eased on Tuesday as the markets assessed chances for improving U.S. field weather while looking ahead to major grain and economic data this week.
The most-active wheat contract on the Chicago Board of Trade (CBOT) Wv1 was down 1.3% at $5.58-1/2 a bushel by 1115 GMT to move further from Friday’s one-month high.
CBOT soybeans Sv1 gave up 0.3% to $11.78 a bushel and corn Cv1 ticked down 0.2% to $4.34-3/4 a bushel.
U.S. Department of Agriculture (USDA) crop progress figures released after Monday’s market close tempered concerns about dryness in the U.S. Plains, with the good/excellent score for U.S. winter wheat unchanged on the week to show the highest level for this time of year since 2020.
Weather forecasts suggesting greater precipitation in the Plains from next week, as well as an easing of heavy rain in the southern Delta zone, also tempered worries about stress to wheat crops and delays to corn planting.
“For U.S. wheat, it’s mainly hard red winter wheat-growing region in Kansas, which has been a bit dry in recent weeks, but it’s still too early to draw any conclusions,” said one Singapore-based trader.
For corn, the USDA showed the U.S. crop as 3% planted, compared with analysts’ average of 4%.
Traders were also keeping an eye on dry conditions in the Black Sea region, and signs of ongoing delays to some Russian shipments due to a dispute over phyto-sanitary approvals.
As well as awaiting clearer signs on spring weather conditions in the northern hemisphere, market participants were also bracing for a raft of data publications.
Thursday will see the USDA release its monthly global crop report and Brazilian agency Conab publish monthly national crop forecasts.
On the macroeconomic side, Wednesday will bring a U.S. consumer price index reading and minutes from the last U.S. Federal Reserve meeting before Thursday’s European Central Bank policy decision.
“Tomorrow we see April’s no. 1 most important macro data point, U.S. CPI inflation,” Peak Trading Research said.
“Energy and metals commodity markets are rising, but investors are less enthusiastic about buying U.S. agriculture futures.”