Corn and wheat headed for the biggest weekly advances since July as planting in the U.S., the largest exporter of the grains, slowed and crop conditions deteriorated on wet weather. Soybeans climbed.
Wheat for July delivery rose 0.3 percent to $7.31 a bushel on the Chicago Board of Trade at 10:15 a.m. in Singapore, set to gain 5.6 percent this week. Corn for July delivery was little changed at $6.6125 a bushel, headed for a 6.7 percent advance this week. Corn settled at $6.62 yesterday, the highest close for the most-active contract since March 28.
Wheat output in Kansas, the biggest U.S. grower of winter varieties, will fall 18 percent to 313.1 million bushels in 2013 after drought last year was followed by an April freeze, surveys from a three-day annual crop tour showed. Production in Oklahoma may decline 45 percent from a year earlier. Just 5 percent of the U.S. corn crop was planted as of April 28, below the five- year average of 31 percent, Department of Agriculture data show.
“The key driver remains the less-than-favorable weather we’re seeing in many parts of the world, headlined by the particularly slow pace of planting in the U.S. corn belt,” Luke Mathews, a commodity strategist at Commonwealth Bank of Australia, said by phone from Sydney.
Temperatures may drop below freezing in northwest Oklahoma, southwest Kansas and eastern Colorado tonight, Commodity Weather Group LLC said yesterday in a report.
Wheat for July delivery on the Kansas City Board of Trade traded little changed at $7.8975 a bushel, up 5.2 percent this week. In Chicago, soybeans for July delivery gained 0.4 percent to $13.7775 a bushel, trimming a second weekly decline.
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