CHICAGO, Aug. 25 (Xinhua) -- Chicago Board of Trade (CBOT) agricultural futures rose across the board on Tuesday, led by corn.
The most active corn contract for December delivery soared 9.5 cents, or 2.75 percent, to close at 3.545 U.S. dollars per bushel. December wheat climbed 7.75 cents, or 1.47 percent, to settle at 5.355 dollars per bushel. November soybean rose 14.5 cents, or 1.6 percent, to close at 9.2025 dollars per bushel.
CBOT traders estimate funds have bought 30-32,000 contracts of corn, 9,600 contracts of soybeans, and 7,200 contracts of wheat.
Agricultural futures soared with funds covering net short corn and wheat positions. Funds are also adding to an already large net long in soybeans, Chicago-based consulting company AgResource noted.
U.S. Department of Agriculture (USDA) reported sales of 408,000 metric tons of U.S. corn to China and 100,000 metric tons to Japan. China also booked another 204,000 metric tons of soybeans with 145,000 metric tons to an unknown destination.
Hurricane Laura is to make landfall in Eastern Texas, with each model run having the storm being slightly farther west than the prior run. Louisiana farmers reported that 68 percent of their corn had been harvested through Sunday, and they will rush to cut the remaining crop before Laura makes landfall Thursday.
CONAB estimated that Brazil would produce a 2021 soybean crop of 133.5 million metric tons and corn crop of 112.9 million metric tons. The 2021 soybean harvest would be up a whopping 13 million metric tons with corn up 10 million metric tons from the current crop year. With normal weather, Brazil should harvest record large crops and add to the existing world grain supply.
Weather forecast showed that it will be wetter across the West Midwest than what was offered overnight starting on the weekend. A cold front is dragged southward that will produce rain across Minnesota, Iowa and Wisconsin early next week. This rain is desperately needed, AgResource noted. Then a cool with near to above normal rainfall pattern will follow. There is no evidence of a frost into Sept. 10. The coming rain and cooler temps will aid soybeans more than corn.
AgResource warned that it is still a big 2020 U.S. corn and soybean crop, but the top end of yields has been taken off.
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