CBOT crop futures extend losses amid bearish USDA report, trade tensions

Source: Xinhua| 2019-05-11 06:30:03|Editor: Shi Yinglun
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CHICAGO, May 10 (Xinhua) -- Chicago Board of Trade (CBOT) agricultural futures settled lower for the third consecutive session over larger ending stock estimates and trade tensions.

The most active corn contract for July delivery was down 1.5 cents, or 0.42 percent, to 3.5175 U.S. dollars per bushel on Friday. July wheat was down 4.75 cents, or 1.11 percent, to 4.2475 dollars per bushel. July soybeans were down 3.5 cents, or 0.43 percent, to 8.0925 dollars per bushel.

The U.S. Agriculture Department (USDA) released on Friday its monthly supply and demand report, showing bearish estimates for the agricultural market.

The initial outlook for 2019/20 U.S. wheat is for larger supplies, higher domestic use, lower exports, and larger stocks. Meanwhile, higher world ending stocks and fierce competition in international market will pressure U.S. wheat further.

The U.S. feed-grain outlook for 2019/20 is for larger corn production and domestic use, lower exports, and greater ending stocks. U.S. corn exports are forecast to decline 25 million bushels in 2019/20, despite larger world corn trade.

Although the 2019/20 outlook for U.S. soybeans is for higher supplies, crush, exports, and slightly lower ending stocks compared to 2018/19, the trade frictions between the United States and China still drag down CBOT soybean prices, said market watchers.