Corn declines

SINGAPORE: Chicago corn was poised for its biggest weekly decline in a year on Friday with the market falling for a second consecutive week, weighed down by forecasts of crop-friendly weather in the U.S. Midwest.

Soybeans faced their biggest weekly loss since December, while wheat is set to end the week in negative territory following two weeks of strong gains.

The Chicago Board of Trade most-active corn contract has given up 5.6 percent this week, biggest loss since June 2016. Soybeans are down nearly 3.5 percent for the week, the most since December.

In the previous session, the market hit a low of $9.03 a bushel, the weakest since April 2016. Wheat is down around 1 percent after rallying 8.3 percent in the last two weeks.

“Weather concerns for U.S. corn and soybean crops have eased, both markets in bearish mood,” said Kaname Gokon of Tokyo brokerage Okato Shoji.

“But for the wheat market we are expecting tighter supplies following weather issues in the United States and Europe, that should support prices.” Corn and soybean prices are being pressured by more mild temperatures moving into the U.S. Midwest crop belt.

The month of July weather is crucial for determining yields of the U.S. corn crop.

Weekly U.S. export sales of soybeans, corn and wheat were generally in line with estimates, or worse.

Much-needed rainfall is forecast in the coming days in the northern U.S. Plains, where spring wheat crop has been suffering from dry weather, while in France the extent of damage from extreme heat is unclear.