U.S. grain futures slump on ideal crop weather

Investing.com - U.S. grain futures edged lower on Monday, on forecasts for ideal weather in the Great-Plains region and amid ongoing indications of rapid planting progress in the U.S. Midwest.

On the Chicago Mercantile Exchange, US wheat for July delivery hit an intraday low of $4.7413 a bushel, the weakest level since May 13, before trading at $4.7588 during U.S. morning hours, down 0.52 cents, or 0.11%.

On Friday, wheat slumped 11.6 cents, or 2.4%, to settle at $4.7700 on forecasts for drier, warmer weather in the southern Great-Plains region, which was expected to benefit crop prospects.

Nearly 45% of the U.S. winter wheat crop was rated good to excellent as of May 24, unchanged from the preceding week, according to the U.S. Department of Agriculture.

The agency also said that nearly 96% of the spring wheat crop was planted as of May 24, up from 94% in the preceding week. Only 70% of the crop was planted in the same week a year earlier, while the five-year average for this time of year is 79%.

Later in the day, the USDA will release updated crop progress numbers for the week ended May 31.

Meanwhile, US corn for July delivery shed 0.62 cents, or 0.18%, to trade at $3.5038 a bushel. Corn dipped 2.0 cents, or 0.57%, on Friday to end at $3.5140.

Prices hit a seven-month low of $3.4820 on May 28 amid indications of rapid planting progress in the U.S. Midwest.

According to the USDA, approximately 92% of the corn crop was planted as of May 24, up from 85% in the preceding week. Nearly 86% of the crop was planted during the same week a year earlier, while the five-year average for this time of year is 88%.

Corn emergence rose to 74% last week from 56% a week earlier, above the five-year average of 62%.

Elsewhere on the Chicago Board of Trade, US soybeans for July delivery declined 8.87 cents, or 0.95%, to trade at $9.2513 a bushel. Prices of the oilseed rose 8.0 cents, or 0.86%, on Friday to close at $9.3400.

Soybeans fell to an almost eight-month low of $9.2040 on May 26 after the USDA said that nearly 61% of the soybean crop was planted as of last week, up from 45% in the preceding week. Approximately 55% of the crop was planted in the same week a year earlier, while the five-year average for this time of year is 55%.

Soybean emergence was 32% complete, improving from 13% a week earlier, while the five-year average pace for the week is 25%.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.