Corn futures are found bearish in the session as traders expect that recent weathers would boost the U.S. Crop.
Analyst in the U.S. Department of Agriculture expect to show better performance and conditions in corn with its weekly crop report, with rain and the cooler temperatures in the midwest aids in soil moisture. Traders expect crops to grow better in these conditions which will likely limit the impact of an erratic weather so far this season, contributing to large global supplies and depressing prices.
Corn prices also suffered after the Commodity Futures trading Commission said that on Friday hedge funds had been sharply peeled back on bets that corn prices would fall. Money managers cut bearish bets by 87% to come to a net price short of 17,929 futures and options as of Tuesday.
Corn futures for July delivery was down by 2.3% and was sold for $3.75 for every quarter of a bushel at the Chicago Board of Trade, brushing off a recent weather-risk premium to fall back into a trading band that was established in last May and early June.
Meanwhile, in soybean and wheat market were muted s traders waited for the USDA crop ratings where-in this case a higher dollar and lower crude-oil prices limit the crop’s gains.
The CBOT July wheat futures climbed by 0.4% and was sold at $4.67 per bushel, a few inch from its yearly high.