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World grain market: futures for corn, soybeans and wheat fell on Tuesday
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World grain market: futures for corn, soybeans and wheat fell on Tuesday

Prices for wheat and corn are decreasing following the forecast of rain.

28 June 2023 28 June 2023

As a result of the trading day, September quotations of soft winter wheat on the Chicago Mercantile Exchange CBOT fell to $256.83 per ton, September futures of hard winter wheat KCBT in Kansas City rose to $308.46 per ton, September futures of hard spring wheat MGEX fell to $310, 57 per ton.

U.S. new-crop corn and soybean futures tumbled to their lowest in more than a week on Tuesday, pressured by forecasts of much-needed rain in the Midwest, where crops are deteriorating due to drought, analysts said.

December corn on the Chicago Mercantile Exchange fell 27-1/4 cents to $5.61 a bushel after falling to $5.55, its lowest level since June 15. November CBOT soybeans fell 28-3/4 cents to $12.94-1/4 a bushel, while September wheat fell 39-1/4 cents to $6.99 a bushel.

Rain forecasts in the Corn Belt later this week and next week eased fears of dry weather that weighed on crops in June.

The health of US corn and soybean crops has deteriorated to the worst in decades, USDA data showed on Monday. The USDA rated 50% of the US corn crop and 51% of the soybean crop as good or excellent, compared to 55% and 54% respectively last week. The ratings were the lowest for this time of year since 1988, a historic drought year.

As weather forecasts boosted supply optimism, questions about demand for US corn and soybeans remained given fierce global competition for export business. Similarly, in the wheat market, attention has shifted back to competitive prices in Russia.

The European Union's crop monitoring service MARS on Monday forecast Russia's 2023 wheat harvest at 86.7 million metric tons.

On the Chicago Mercantile Exchange (CBOT) on Tuesday, contracts for delivery in September, November, December:

wheat (September 2023) - 256.83 dollars / t (21,740 rubles / t) - minus 5.32%;
corn (DKBR 2023) - $220.87/t (18,700 RUB/t) - minus 4.63%;
soybeans (nbr. 2023) - 475.55 dollars / t (40260 rubles / t) - minus 2.17%;
Rice raw (September 2023) - 769.97 USD / t (65190 RUB / t) - minus 0.10%;
rapeseed (ICE, Nov. 2023) - 713.70 cad/t (45,780 RUB/t) - minus 1.09%.

On Tuesday, the French grain market fell. As a result of the trading day, the September quotes of milling wheat on the Parisian MATIF exchange fell to €236.50 per ton (in dollar terms to $259.18). November corn futures - up to €236.75 per ton (in dollar terms up to $259.45).

On the Paris Stock Exchange (MATIF) on Tuesday, the quotes for the August and September contracts at the close of trading amounted to:

milling wheat (Sept. 2023) - 259.18 dollars / t (21940 rubles / t) - minus 3.47%;
corn (NBR 2023) - 259.45 USD/t (21970 RUB/t) - minus 2.48%;
sunflower (July on the SAFEX exchange - 8367 zar. / t (37950 rubles / t) - minus 1.36%;
sunflower oil. (June, OTC index NTB SOEXP) - 837.81 dollars per ton (70930 rubles per ton) - minus 0.9564%.

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