May 22, 2013
US corn futures dropped 1.8 percent to their lowest since early April on Tuesday as investors unwound bull spreads on signs tightness in the cash market was easing, traders said. Wheat futures also fell, hitting a fresh seven-week low on pressure from the drop in corn prices. Soyabeans were mixed, with the front-month July contract edging up to a three-month high while deferred months weakened.
A record week for corn planting, which allowed many US farmers to get back on schedule after weeks of delays, also added pressure across the grains markets amid renewed expectations for a bumper crop this fall. At 10:27 am CDT (1527 GMT), Chicago Board of Trade July corn futures were down 10-1/4 cents at $6.38-3/4 a bushel. Prices bottomed out at $6.32-1/2, the lowest level for the front-month contract since April 8.
The new-crop December contract was 2 cents lower at $5.18-1/4 a bushel. Prices had fallen as low as $5.12 during overnight trading hours. CBOT July wheat was down 7-1/2 cents at $6.77-3/4 a bushel, hitting its lowest since April 3. Soyabeans were mixed, with the old-crop July contract up 4 cents at $14.68-1/2 a bushel while new-crop November dipped 1 cent to $12.24 a bushel. Reuters