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Grain futures - weekly outlook: April 20 - 24

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Investing.com -

Investing.com - U.S. corn futures rose to a more than one-week high on Friday, as concerns over wet weather delaying planting in the U.S. grain belt boosted prices.

On the Chicago Mercantile Exchange, US corn for May delivery hit a session peak of $3.8060 a bushel, the most since April 8, before closing at $3.7960, up 3.4 cents, or 0.94%.

For the week, the May corn contract rose 5.0 cents, or 0.63%, the first weekly gain in three weeks.

According to the U.S. Department of Agriculture, only 2% of the corn crop was planted as of April 12. The five-year average for this time of year is 5%.

Meanwhile, US wheat for May delivery dipped 1.07 cents, or 0.22%, to settle at $4.9440 a bushel on Friday. A day earlier, wheat slumped to $4.8900, the lowest level since March 10.

On the week, the May wheat contract tumbled 25.0 cents, or 6.38%, the biggest weekly loss since July, as weather models forecast much-needed rains in key U.S. wheat-growing states.

The USDA said that the U.S. winter wheat crop was rated 42% good to excellent as of last week. Approximately 34% of the crop was in good to excellent condition in the same week a year earlier.

The agency also said that 17% of the spring wheat crop was planted as of last week, compared to just 5% in the same week a year earlier and below the five-year average of 11% for this time of year.

Elsewhere on the Chicago Board of Trade, US soybeans for May delivery inched up 2.6 cents, or 0.28%, to end at $9.6860 a bushel. For the week, the May soybean contract tacked on 19.12 cents, or 1.65%.

Gains were limited amid optimism over the outlook for supplies in South America. Brazil and Argentina are major soybean exporters and compete with the U.S. for business on the global market.

Large South American crop prospects could weigh on demand for U.S. supplies.

In the week ahead, market players will focus on the release of key USDA data, including crop progress and weekly export sales figures.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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