U.S. corn rose on Wednesday, bouncing off a new contract low hit on prospects of bumper U.S. crops, while wheat rallied after dropping to its lowest in more than a week.
Soybeans moved up, snapping four sessions of decline on expectations that buyers would emerge after the soy market plunged to a contract low on Tuesday.
Chicago Board Of Trade December cornrose 0.1 percent to $3.68-3/4 a bushel at 1029 GMT, bouncing from a contract low of $3.67-1/4 a bushel hit earlier on Wednesday.
Front-month September wheatrose 0.1 percent to $5.25 a bushel after earlier hitting $5.20-1/4, its lowest since July 14. November soybeans rose 0.2 percent to $10.60-1/4 a bushel, after sliding 1.3 percent on Tuesday to hit a contract low of $10.57 a bushel.
"I think the markets are starting to look a little oversold especially when you look at the chart RSIs (relative strength indexes) which could be generating some bottom-level buying to pick the markets up from these extremely low levels," said Ole Hansen, head of commodity strategy at Saxo Bank.
"But fundamentally I do not see any changes to the positive harvest outlooks, especially in the United States, so it may be that the bounce is short-lived."
Grains have been hammered by expectations of excellent U.S. crops this week.
The U.S. Department of Agriculture (USDA) on Monday rated 76 percent of the U.S. corn crop in good to excellent condition, the highest ratings for this time of year in a decade. Some analysts expect a U.S. national corn yield of 170 bushels per acre, above the USDA's current forecast for a record high 165.3 bushels per acre.
The USDA rated 73 percent of the U.S. soybean crop good to excellent, up 1 percentage point from last week and the highest rating at this time since 1994.
Bearish news for wheat came as big spring wheat yields were projected in southern North Dakota as abundant soil moisture and cool weather helped foster crop development, scouts on an annual crop tour found.
But expectations low prices could tempt more buyers into the market supported soybeans and wheat.
The USDA on Monday reported hefty sales of 120,000 tonnes of U.S. soybeans to China for delivery in the 2013/14 marketing year ending on Aug. 31.
Traders are expecting U.S. wheat to win some business as it has become competitive in the global market after losing about a quarter of its value since the beginning of May.
"We think Chicago wheat is undervalued relative to a lot of other origins," a Melbourne-based analyst said. "We think soft red winter wheat has potential to win some of the tender business at these levels." Grains prices at 1029 GMT
Soybeans moved up, snapping four sessions of decline on expectations that buyers would emerge after the soy market plunged to a contract low on Tuesday.
Chicago Board Of Trade December corn
Front-month September wheat
"I think the markets are starting to look a little oversold especially when you look at the chart RSIs (relative strength indexes) which could be generating some bottom-level buying to pick the markets up from these extremely low levels," said Ole Hansen, head of commodity strategy at Saxo Bank.
"But fundamentally I do not see any changes to the positive harvest outlooks, especially in the United States, so it may be that the bounce is short-lived."
Grains have been hammered by expectations of excellent U.S. crops this week.
The U.S. Department of Agriculture (USDA) on Monday rated 76 percent of the U.S. corn crop in good to excellent condition, the highest ratings for this time of year in a decade. Some analysts expect a U.S. national corn yield of 170 bushels per acre, above the USDA's current forecast for a record high 165.3 bushels per acre.
The USDA rated 73 percent of the U.S. soybean crop good to excellent, up 1 percentage point from last week and the highest rating at this time since 1994.
Bearish news for wheat came as big spring wheat yields were projected in southern North Dakota as abundant soil moisture and cool weather helped foster crop development, scouts on an annual crop tour found.
But expectations low prices could tempt more buyers into the market supported soybeans and wheat.
The USDA on Monday reported hefty sales of 120,000 tonnes of U.S. soybeans to China for delivery in the 2013/14 marketing year ending on Aug. 31.
Traders are expecting U.S. wheat to win some business as it has become competitive in the global market after losing about a quarter of its value since the beginning of May.
"We think Chicago wheat is undervalued relative to a lot of other origins," a Melbourne-based analyst said. "We think soft red winter wheat has potential to win some of the tender business at these levels." Grains prices at 1029 GMT
