Monday, May 16

Wheat rebounds on global supply worries; soybeans, corn gain


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SINGAPORE — Chicago wheat futures rose almost 2% on Monday, with prices supported by concerns over global supplies, while soybeans and corn also gained.

FUNDAMENTALS

* The most-active wheat contract on the Chicago Board of Trade (CBOT) added 1.9% to $7.94-1/2 a bushel as 0258 GMT. Soybeans rose 0.4% to $14.20-1/4 a bushel and corn gained 0.5% at $6.19 -1/4 a bushel.

* The wheat market is being supported by a global supply crunch.

* The US Agriculture Department (USDA) said private exporters reported the sale of 132,000 tonnes of soybeans to China and 247,800 tonnes of corn to unknown destinations.

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* Separately, USDA said weekly export sales of soybeans totalled 1.199 million tonnes, up 30.5% from a week earlier. Corn export sales of 1.196 million tonnes were near the high end of market forecasts.

MARKET NEWS

* Asian share markets slipped, as investors braced for a Federal Reserve meeting at which it is expected to confirm it will soon start draining the massive lake of liquidity that has supercharged growth stocks in recent years.

DATA/EVENTS (GMT) 0815 France Markit Mfg, Serv, Comp Flash PMIs Jan 0830 Germany Markit Mfg, Serv, Comp Flash PMIs Jan 0900 EU Markit Mfg, Serv, Comp Flash PMIs Jan 0930 UK Flash Mfg, Serv, Comp Flash PMIs Jan 1445 US Markit Mfg, Serv, Comp Flash PMIs Jan (Reporting by Naveen Thukral; Editing by Rashmi Aich)



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