Chicago Grains Stabilize Ahead of Crucial USDA Report
Chicago grain futures saw some stability on Thursday after a tumultuous week. The most-traded corn contract on the Chicago Board of Trade (CBOT) rose by 0.6% to $5.30-3/4 a bushel, while soybeans gained 0.5% at $13.16 a bushel. However, wheat prices were largely unchanged, down just 0.1% at $7.28 a bushel.
The recent price fluctuations are partly due to diplomatic efforts to end the Russia-Ukraine war, which have encouraged profit-taking among traders. The US Department of Agriculture (USDA) is also expected to release its supply-and-demand report on Friday, which will provide insight into the impact of adverse weather on US corn and soybean yields.
The CM Navigator analysts commented that renewed Russian comments about restarting US-mediated peace talks gave funds an excuse to trim risk. They added that the USDA report will add another reason not to chase prices before seeing the new numbers.