(Reuters) – U.S. soybean futures fell for a fourth session in a row on Tuesday after the condition of the U.S. crop was rated as having improved last week to its best level in 20 years, surprising analysts who had expected a steady result.
FUNDAMENTALS
* Chicago Board Of Trade November soybeans fell 0.4 percent to $10.67-3/4 a bushel, having slid 1.3 percent on Tuesday.
* December corn fell 0.3 percent to $3.71 a bushel, having slid 2 percent in the previous session to hit a contract low.
* September wheat fell 0.1 percent to $5.30-1/2 a bushel, having closed down 0.4 percent on Tuesday.
* The U.S. Department of Agriculture in its weekly crop progress report released after the close of trading rated the soy crop 73 percent good to excellent, up 1 percentage point from last week, the highest rating for soybeans since 1994. Analysts had expected steady soy ratings.
* The USDA rated the corn crop at 76 percent good to excellent, steady with last week and matching analyst expectations.
* After Monday’s report several analysts were penciling in a national corn yield of 170 bushels an acre and higher. USDA is already forecasting a record yield of 165.3 bushels.
* Grains shipments from Argentina’s Rosario hub went smoothly on Monday after several unions suspended strikes that had paralyzed exports at a busy time in the harvest cycle and held talks with employers.
* USDA confirmed a sale of 120,000 tonnes of U.S. soybeans to China for delivery in the 2013/14 crop year that ends Aug. 31.
* USDA also reported the winter wheat harvest 75 percent complete – on par with the five-year average and slightly behind trade expectations of 80 percent.
MARKET NEWS
* The U.S. dollar held steady against major currencies on Monday as investors reduced holdings of stocks and other risky assets on anxiety about escalating violence in Gaza and Ukraine.
* Oil prices rose on Monday as the threat of escalating tension between Russia and the West over the crisis in Ukraine mounted, while August U.S. crude zoomed higher prior to its expiry.
* U.S. stocks slipped on Monday as investors remained cautious about instability in Ukraine and Gaza, though the three major indexes ended well off their lows, a sign that some appetite for riskier assets remained.
