S. African Corn Gains for First Day in Four Before USDA Report
Category: Grains
(Businessweek) – South African corn futures advanced for the first time in four days as prices in the U.S., the world’s largest producer, increase in anticipation of the USDA report coming out tomorrow.
Yellow corn for delivery in July, the most active contract, increased 0.8 percent to 2,057 rand ($239) a metric ton, the first rise since Jan. 4, by the close in Johannesburg. The white variety gained 0.2 percent to 2,128 rand a ton.
Corn rose for a fourth day, adding 0.5 percent to $6.9775 a bushel on the Chicago Board of Trade at 12:05 p.m. in London. The USDA will release the quarterly stockpiles report tomorrow in Washington.
“Our prices are moving up today as a result of what is happening in Chicago, caused by the anticipation of tomorrow’s USDA report,” Lindy van Blommestein, a trader at Farmwise Grains (Pty) Ltd., said by phone from Johannesburg. “Everybody is looking at that report.”
South Africa is the continent’s largest producer of corn, also known as maize. White corn is a staple food, while yellow corn is used as animal feed.
Wheat for delivery in March, rose 0.3 percent to 3,467 rand a ton.
To contact the reporter on this story: Tshepiso Mokhema in Johannesburg at tmokhema@bloomberg.net
To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net
