U.S. corn jumps after USDA reveals scale of crop damage

GRAINS-U.S. corn jumps after USDA reveals scale of crop damage | Reuters

Chicago corn rose as much as 2 percent on Tuesday after the U.S. government estimated crop quality fell the most in nearly 10 years due to shrivelling heat from the worst drought since 1956, which has seen new-crop corn soar about 40 percent in a month. The U.S. Department of Agriculture's weekly report also boosted soybeans, which hit a contract high, while wheat tracked corn higher.

Emerging-Market Currencies Advance Ahead of Bernanke Testimony

Emerging-Market Currencies Advance Ahead of Bernanke Testimony - WSJ.com

Emerging-market currencies gained modestly in light trade Monday as investors awaited a coming policy update from U.S. Federal Reserve Chairman Ben Bernanke.  Disappointing U.S. retail sales data curbed enthusiasm for higher-yielding emerging-market currencies earlier in the day, as retail sales fell 0.5% in June, declining for the third consecutive month. But currencies later rebounded modestly on higher hopes for Fed action.  Investors read the worse-than-expected data as increasing the likelihood of further economic stimulus from the Fed, said Jose Wynne, head of North America FX strategy at Barclays in New York. Two past rounds of Fed bond-buying, known as quantitative ...

2012 drought impact on 2013 unclear at this point

2012 drought impact on 2013 unclear at this point Cattle News - Editorial, Grain & Cattle Markets, Current Stories

Widespread drought conditions so far in 2012 are clearly a large contributor to the current weakness in the cattle complex.  There are numerous reports of early marketings of feeder cattle and cow liquidation which leaves no doubt that the drought is impacting cattle inventories and flows.  However, the magnitude of these changes in cattle numbers is not clear yet so it is difficult to assess just how much impact might carry over into 2013... 

LME copper dips; U.S., China stimulus eyed

LME copper dips; U.S., China stimulus eyed | Reuters


Copper slipped on Monday, pressured by a decline in U.S. retail sales, worries over Europe's crisis and by investor concerns over whether a presentation by the U.S. Federal Reserve chairman this week will yield any clues on monetary easing.  Data showed a surprise drop in U.S. retail sales in June, putting pressure on risky assets such as equities.  But losses in the metals market were reined in by hopes of further stimulus from top copper consumer China after Premier Wen Jiabao said Beijing would step up efforts to boost the economy, though investors were mindful that stimulus efforts would take time to bear fruit.

Oil Prices Rise 1.5% Ahead of Bernanke Remarks

OIL FUTURES: Oil Prices Rise 1.5% Ahead of Bernanke Remarks - WSJ.com

Overriding some bearish new data on U.S. retail sales and weak overall Chinese sentiment, oil prices Monday closed 1.5% higher in anticipation of the U.S Federal Reserve taking action Tuesday to stimulate the economy.  Light, sweet crude for August delivery settled at $88.43 a barrel on the New York Mercantile Exchange, up $1.33. Brent crude on the ICE futures exchange was trading at $103.58 a barrel, up $1.18.  "Expectations and hopes are building that we're going to see some intervention," said Matt Smith, analyst at Summit Energy, who predicts the ...

U.S. Stock Futures Edge Lower on Growth Worries

U.S. Stock Futures Edge Lower on Growth Worries - WSJ.com

U.S. stock index futures traded lower Monday, with investors appearing reluctant to extend the rally seen at the end of last week due to continued worries over the outlook for global growth and ahead of a flood of corporate results as second-quarter earnings season moves into full swing.  Futures on the Dow Jones Industrial Average fell 36 points to 12,676. S&P 500 futures lost 4 points to 1,347.70, while Nasdaq-100 futures declined 7 points to 2,570.

Corn futures up for a third-straight session

Corn futures up for a third-straight session - Market Extra - MarketWatch

Corn futures headed higher Monday, looking to extend their gains into a third session in a row as dry weather continued to threaten crops in the Midwest.  Corn for December delivery CZ2 +4.46% was up 28 cents, or 3.9%, at $7.68 per bushel on the Chicago Board of Trade. Prices, based on the most-active contracts, haven’t traded at levels this high in more than 10 months, according to data from FactSet.

Futures edge lower after rally, Citi results eyed

Futures edge lower after rally, Citi results eyed | Reuters


Stock futures edged lower on Monday as investors looked ahead to a rash of key earnings reports, including from Citigroup Inc (C.N).  Equities are coming off a rally on Friday that single-handedly lifted the Dow and S&P into slightly positive territory for the week. Strong results from JPMorgan Chase & Co (JPM.N) were a catalyst, raising the bar for Citigroup, which is expected to report a decline in its investment banking revenue.  While early reads on earnings like Alcoa Inc (AA.N) have come in above expectations, many investors remain concerned about the impact that slowing growth and Europe's debt crisis will have on outlooks.

Gold Declines as Europe’s Debt Crisis Strengthens Dollar

Gold Declines as Europe’s Debt Crisis Strengthens Dollar - Bloomberg

Gold is set to decline in London on speculation Europe’s debt crisis will strengthen the dollar, curbing demand for the metal as an alternative investment.  The euro fell to near a two-year low versus the dollar after German Chancellor Angela Merkel said yesterday she hasn’t softened her stance on measures to stem debt contagion that’s prompted five euro states to seek international aid. Federal Reserve Chairman Ben S. Bernanke will discuss the outlook for the economy and monetary policy in testimony to the U.S. Senate Banking Committee tomorrow.

Crude Oil Futures Drop From One-Week High

Crude Oil Futures Drop From One-Week High - Businessweek

Oil fell from the highest close in more than a week after Premier Wen Jiabao said China’s economic recovery hasn’t gained momentum, stoking speculation that demand may ease in the world’s second-biggest crude consumer.  Futures slid as much as 0.7 percent in New York, their first decline in four days. Wen said “difficulties” may persist, according to the official Xinhua News Agency. Abu Dhabi started exporting crude through a pipeline to the Indian Ocean port of Fujairah, bypassing the Strait of Hormuz, the oil- transit corridor that Iran threatened to shut earlier this year in response to sanctions on its nuclear program.

German Bonds Rise as Euro Weakens, Bank Debt Risk Climbs

German Bonds Rise as Euro Weakens, Bank Debt Risk Climbs - Businessweek

Germany’s borrowing costs fell to a record, the euro approached a two-year low versus the dollar and the cost of insuring bank debt rose amid concern Europe’s debt crisis will worsen. Corn jumped to a 10-month high and soybean meal gained to an all-time high.  The yield on Germany’s five-year note fell three basis points to 0.282 at 10:40 a.m. in London. The euro weakened 0.5 percent to $1.2185. Credit-default swaps on senior bank bonds in Europe rose to a one-week high. The Stoxx Europe 600 Index (SXXP) slid 0.1 percent and Standard & Poor’s 500 Index futures declined 0.4 percent. Corn advanced 4.1 percent, soybeans climbed to the highest since July 2008 and soybean meal gained 2.9 percent on the U.S. drought.

US new-crop corn, soy hit contract highs on weather woes

GRAINS-US new-crop corn, soy hit contract highs on weather woes | Reuters

Chicago new-crop corn jumped 4 percent on Monday, while soybeans gained about 2.5 percent with both markets climbing to contract highs on forecasts of more stressful hot weather in the U.S. grain belt this week. Wheat also gained 2.5 percent, tracking corn prices and building on a weather-driven rally in the U.S. markets which has lifted corn 46 percent and wheat 35 percent in the past four weeks.