(Reuters) – U.S. new-crop soybeans rose for a second session on Tuesday, climbing to their highest since July 17 following the first decline in crop condition in more than a month.
Corn was edged lower as damage from below normal rains was seen minimal, while wheat lost more ground as crop-friendly weather in the Black Sea region weighed on prices.
U.S. corn and soybean condition ratings fell in the latest week, the U.S. Agriculture Department said on Monday, the first decline for both crops in five weeks.
The USDA said that soybeans were rated 71 percent good to excellent as of July 27, a 2 percentage point decline from a week earlier. Good-to-excellent ratings for corn fell 1 percentage point to 75 percent.
The declines surprised forecasters who were expecting that conditions for both corn and soybeans would hold steady.
Chicago Board Of Trade November soybeans rose 0.2 percent to $11.10-1/4 a bushel by 0156 GMT after climbing to 11.16-1/2 a bushel, highest since July 17. December corn lost 0.3 percent to $3.75-1/2 a bushel and September wheat gave up 0.2 percent to $5.33-1/2 a bushel.
Corn rose 1.3 percent on Monday, while wheat lost 0.6 percent.
Chicago Board Of Trade November soybeans rose 1 percent to $10.93-3/4 a bushel by 0207 GMT and December corn added 0.9 percent to $3.75 a bushel. September wheat gained 0.4 percent to $5.40 a bushel.
“There are concerns about below normal rains in the U.S. Midwest which could impact soybean yields,” said Kaname Gokon, general manager of research at brokerage Okato Shoji in Tokyo.
“It will not impact corn much as the crop has seen perfect weather at the time of pollination.”
Soybeans are being supported by disappointing weekend rains in southwest Iowa and around the U.S. Great Lakes region, according to the Commodity Weather Group.
Strong demand led by top importer China is also fuelling gains in the oilseed market.
The USDA said on Monday that exporters sold 486,000 tonnes of soybeans to China in the 10th announcement this month of a daily sale of 100,000 or more tonnes required by law.
The government also said Nigeria bought 101,000 tonnes of wheat – 61,000 tonnes of hard red winter wheat and the rest soft red winter wheat.
Wheat prices remained anchored by favourable crop prospects in the Black Sea region. Russia, one of the world’s key wheat exporters via the Black Sea, is likely to harvest 57.5 million tonnes of wheat in 2014, IKAR, a leading agriculture consultancy, said in a note.
