May 28 (Bloomberg) -- Corn futures rose on speculation that demand will improve for supplies from the U.S., the world’s top exporter. Soybeans also gained, while wheat declined.
Corn inspected for export in the week ended May 22 rose to the highest for the week since 2010, the U.S. Department of Agriculture said yesterday in a report. In New Orleans, premiums paid for grain shipped before the end of June climbed by at least 4 cents a bushel today, USDA data show. Futures earlier traded at a 12-week low, and fell 9 percent in May.
“Demand will improve with the lower prices,” Joe Vaclavik, the president of Standard Grain Inc. in Chicago, said in a telephone interview. “Exports in particular will be excellent.”
Corn futures for July delivery rose 0.6 percent to close at $4.725 a bushel at 1:15 p.m. on the Chicago Board of Trade, after touching $4.665, the lowest for a most-active contract since March 4. Prices are heading for the first monthly decline this year.
Wheat fell after seeding accelerated during the past week, Terry Reilly, a senior commodity analyst for Futures International LLC in Chicago, said in a telephone interview. U.S. spring-wheat planting was 74 percent finished as of May 25, up from 49 percent a week earlier, USDA data show.
On the CBOT, wheat futures for July delivery declined 0.4 percent to $6.3875 a bushel, after touching $6.33, the lowest since March 4.
Improved prospects for the crop in Russia, the fifth- biggest wheat exporter, also pushed prices lower, Reilly said. Russia will harvest 53 million to 55 million tons this year, Agriculture Minister Nikolai Fedorov said today. That compares with last season’s harvest of 52.1 million, as estimated by the USDA.
Soybean futures for delivery in July rose 0.6 percent to $14.9775 a bushel in Chicago. On May 22, prices reached an 11- month high of $15.3675. U.S. inventories before the start of the 2014 harvest will fall to the lowest as a percent of use and exports since before 1965, the government estimates
--With assistance from Whitney McFerron in London and Phoebe Sedgman in Melbourne.