(Reuters) – Chicago corn rose for a third straight session to near a three-week high after the U.S. Department of Agriculture said the pace of planting fell short of market expectations.
Wheat edged lower, snapping five sessions of gains which lifted the market to its highest since April 16 on Monday, underpinned by concerns over unrest in the Ukraine and dryness across the U.S. Plains.
The pace of U.S. corn planting remained behind normal as of Sunday despite a week of mild weather that spurred the season’s most active field work to date, according to government weekly crop progress data on Monday.
U.S. farmers have planted 19 percent of their 2014 corn crop as of April 27, behind the five-year average of 28 percent, the U.S. Department of Agriculture said in its third crop progress report of the season.
Analysts polled by Reuters ahead of the closely watched report expected corn, on average, to be 21 percent seeded.
Chicago Board Of Trade July corn rose 0.6 percent to $5.16-3/4 a bushel by 0323 GMT, not far from highest since April 9 of $5.18-1/2 a bushel on Monday.
July wheat fell 0.4 percent to $7.05-3/4 a bushel and July soybeans gave up 0.3 percent to $14.96-1/4 a bushel.
“The planting figure may be up from last week but it is still short of the five-year average,” said Vanessa Tan, investment analyst at Phillip Futures. “The USDA data gives further evidence of delays to the U.S. planting season this year.”
The decline in wheat came even as U.S. winter crop conditions continued to deteriorate.
The winter wheat crop was rated 33 percent good to excellent, down 1 point from the previous week and well below the five-year average of 49 percent, USDA said in its weekly crop progress report.
Analysts polled by Reuters, on average, expected no change to the condition ratings.
A tour of crop fields hosted by the Wheat Quality Council will kick off on Tuesday in Manhattan, Kansas, and will estimate production for the HRW wheat crop on Friday.
The Plains region remains under severe or worse drought conditions.
Argentina has authorised an additional 500,000 tonnes in 2013/14 wheat exports, President Cristina Fernandez said on Monday, bringing the official exportable surplus for the season to 1.5 million tonnes.
