Categories: India

GRAINS-Chicago grains lower after USDA quarterly stocks report

* Soybeans, corn, wheat eased after quarterly US stocks data * Looming US government shutdown adds to cautious mood (Updates for market open, changes dateline to CHICAGO from PARIS) By Heather Schlitz CHICAGO, Sept 30 (Reuters) – Chicago soybean, corn and wheat futures fell on Tuesday on a bearish U.S. Department of Agriculture quarterly stocks report, U.S. harvest progress and a lack of Chinese demand hung over the markets, analysts said. The USDA's quarterly stocks report, one of the most closely tracked publications in grain markets, showed U.S. farmers and grain handlers had 13% less corn in storage ahead of the autumn harvest than a year earlier, though a record-large crop was set to replenish inventories. The USDA said in a quarterly report that there were 1.532 billion bushels of corn in storage as of September 1. That was above analysts' expectations for 1.337 billion bushels. "It's the primary reason we're seeing some pressure right now," Rich Nelson, strategist at Allendale, said. The run-up to a possible U.S. government shutdown from Wednesday also encouraged caution on grain and wider financial markets. The most-active Chicago Board of Trade corn contract was down 6 cents to $4.15-1/2 a bushel as of 12:30 p.m. CT (1730 GMT), while CBOT wheat ticked down 11 cents to $5.08-1/2 a bushel. CBOT soybeans were down 9-3/4 cents to $10.01 a bushel. A lack of export demand for soybeans has been the primary factor weighing on soy futures, analysts said. U.S. soybean exporters are missing out on business to China amid a trade war between the two nations, with rival suppliers from South America taking their share. Pressure from ongoing U.S. corn and soy harvests has also pressured futures. Warm and dry weather over the U.S. grain belt helped harvesting over the weekend, and forecasts called for more of the same this week. Corn, which has found support from brisk exports and doubts over U.S. yield potential, was set to be virtually unchanged over the month and higher for the quarter. (Reporting by Heather Schlitz in chicago. Additional reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by Alan Barona, Eileen Soreng, Shailesh Kuber and Alan Barona)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

Indianews Syndication

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