Corn climbed a second day before a government report that will show whether farmers in the U.S., the biggest grower, accelerated planting after the slowest start in the Midwest in three decades boosted supply concerns.
Corn for July delivery gained as much as 1.1 percent to $6.5975 a bushel on the Chicago Board of Trade and was at $6.5875 by 9:56 a.m. in Singapore. Prices climbed 2.6 percent last week and are up 1.4 percent this month.
Wet, cold weather has meant 28 percent of the crop was sown in the first 19 weeks of 2013, the U.S. Department of Agriculture said May 13. That’s the lowest since at least 1980, according to data compiled by Bloomberg. The USDA is set to release its crop progress report today. Stockpiles will total 19.29 million metric tons in the year that ends Aug. 31, down 23 percent from a year earlier, after the worst U.S. drought since the 1930s cut output, USDA data show.
“The real strength is in the old crop and concerns around old-crop tightness,” said Michael Pitts, a commodity sales director at National Australia Bank Ltd. in Sydney. There are “concerns around if there’s going to be enough old crop availability until the new crop harvest comes in,” he said.
Soybeans for July delivery gained as much as 0.4 percent to $14.54 a bushel, the highest since March 28, before trading at $14.52. Wheat gained 0.6 percent to $6.87 a bushel.
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