USDA Report Awaits Amid Global Grain Market Jitters

Grain markets are on edge as traders await the upcoming US Department of Agriculture's supply-and-demand report, which is expected to shed light on the extent of crop damage in the US Midwest due to hot and dry weather. The Chicago Board of Trade corn futures have edged higher by 0.14%, reaching $5.28-1/5 a bushel as traders adjust positions ahead of the report.

The USDA's report is expected to provide a clearer indication of poor yields in the US Corn Belt, particularly for soybeans. A Reuters poll predicts that the corn yield will be estimated at 178.2 bushels per acre, while forecaster Commodity Weather Group expects mildly wetter weather in the coming weeks, but only limited delays to the soybean harvest.

Argentina is expected to ship a record 10 million metric tons of corn in August and September, driven by a bumper harvest and strong international demand. Brazil's corn exports are seen reaching 5.2 million tons in September, down from 6.98 million tons in the same period last year.