Today Futures Market

Ag Market Commentary

Corn futures finished the Thursday session down 1 to 2 pennies. Trade estimates for the Friday morning USDA Export Sales report range from 600,000 to 900,000 MT. The weekly EIA report this morning showed that 983,000 barrels of ethanol was produced per day during the week ending 1/15. Ethanol production was down 20,000 barrels per day from what was the second-highest rate on record the week before. Ethanol stocks reached 21.9 million barrels, up 600,000 barrels from the previous week. The International Grains Council this morning cut projected 2015/16 global corn production to 959 MMT, down from its previous estimate of 967 MMT in November (USDA: 967.93 MMT). Ending stocks are expected to be 196 MMT, down from 200 MMT (USDA: 208.94 MMT). The Argentinean ag ministry expects corn planting in the country to reach 5.69 million hectares this year, up from its previous forecast of 5.40 million hectares. Some switching occurred after the export tariffs were removed for corn and wheat.

Mar 16 Corn settled at $3.67, down 1 3/4 cents,
May 16 Corn settled at $3.71 3/4, down 1 1/2 cents,
Jul 16 Corn settled at $3.76 3/4, down 1 3/4 cents
Sep 16 Corn settled at $3.81 1/4, down 1 3/4 cents

Soybean futures closed with 4 cent gains this afternoon, after falling 8 to 9 cents on Wednesday. The weekly Export Sales report will be published tomorrow morning. Trade analysts expect sales for the week ending Jan 14 to be reported between 700,000 MT and 1.0 MMT. Estimates for soy meal range from 50,000 to 200,000 MT, and soy oil from 9,000 to 60,000 MT. The Brazilian Real has fallen close to its record low just one day after the Brazilian central bank decided to hold interest rates steady. The International Grains Council released its latest production estimates this morning, projecting 322 MMT of global soybean production during 2015/16, just 1 MMT higher than the group predicted in November (USDA: 319.01 MMT). The group predicts consumption will reach 321 MMT, up from the previous estimate of 319 MMT (USDA: 314.04 MMT).

Mar 16 Soybeans settled at $8.78 1/2, up 4 1/2 cents,
May 16 Soybeans settled at $8.79, up 4 1/4 cents,
Jul 16 Soybeans settled at $8.84 1/4, up 4 1/4 cents,
Aug 16 Soybeans settled at $8.85 3/4, up 4 1/4 cents,
Mar 16 Soybean Meal settled at $272.20, up $2.40,
Mar 16 Soybean Oil settled at $29.94, up $0.13

Wheat futures settled 4 to 6 cents higher, erasing Wednesday losses. The MPLS market was the firmest today. Export bookings during the week ending last Thursday are estimated to be between 200,000 to 400,000 MT. The actual figure will be released tomorrow morning in the delayed report from the USDA. This morning, the International Grains Council upped its 2015/16 world wheat production by 5 MMT to 731 MMT (USDA: 735.39 MMT). Its ending stocks estimate was also increased by 5 MMT to 213 MMT. That is significantly lower than the most recent USDA estimate of 232.04 MMT. Strategie Grains estimated that EU soft wheat production will reach 143.1 MMT in 2016/17. The Argentinean government slightly increased its wheat production estimate for the country to 11 MMT from a previous estimate of 10.9 MMT (USDA: 10.5 MMT). Total 2015/16 EU production is estimated at 157.98 by the USDA. Egypt purchased 235,000 MT of Romanian, French, and Russian wheat, with the price averaging $189.17/ton.

May 16 CBOT Wheat settled at $4.79 3/4, up 4 cents,
May 16 KCBT Wheat settled at $4.81 3/4, up 4 1/4 cents,
May 16 MGEX Wheat settled at $5.05 1/2, up 5 3/4 cents

Live cattle futures had the first two nearby contracts locked limit up today, after settling around $2.00 lower on Wednesday. Choppy trade continues. Feeders traded $3.675 to $4.50 higher, following Wednesday losses of $1.55 to $2.825. The CME Feeder Cattle Index for 1/20 was down $1.44 to $157.96. Pre-report estimates for the Cattle on Feed report tomorrow show that trade analysts expect cattle on feed as of Jan 1 to be 98.8% of a year ago. Placements and marketings in December are estimated to be 94.9% and 101.9% of a year ago respectively. Cash cattle trade saw a few live sales averaging $129 today. Asking prices are reported up to $134. Wholesale prices were sharply lower this afternoon, with choice boxes down $2.28 to $227.67, and select boxes off $1.06 to $223.08. WTD estimated FI slaughter is 440,000 head, down 3,000 head from last week, but 6,000 head larger than the same period a year ago. Actual slaughter reported by the USDA totaled 552,495 head during the week ending 1/9, up 2% from the same period a year ago. Dressed weights averaged only 832 pounds, the lowest since the week ending August 1.

Feb 16 Cattle settled at $130.250, up $3.000,
Apr 16 Cattle settled at $131.175, up $3.000,
Jun 16 Cattle settled at $122.900, up $2.850,
Jan 16 Feeder Cattle settled at $158.675, up $3.675
Mar 16 Feeder Cattle settled at $154.225, up $4.500
Apr 16 Feeder Cattle settled at $154.450, up $4.475

Hog futures traded $1.00 to $1.95 higher on Thursday, with Apr16 hogs the strongest. The CME Lean Hog Index for 1/19 was 52 cents higher at $56.77. February is trading at $63.75, so there is a really weak basis right now. The next edition of the USDA Cold Storage report is due to be released tomorrow afternoon. The USDA reported the average carcass cutout value at $74.03, down 32 cents. Only loins and belly cuts had higher average prices today, up 11 cents and a single penny respectively. The national average cash hog base price was 59 cents higher today. Regional prices were up 56 cents in IA/MN, and 36 cents higher in the WCB. FI slaughter through today was estimated at 1.696 million head, up 67,000 head from last week, and 7,000 head larger than the same period in 2015. Actual slaughter during the week ending Jan 9 totaled 2.375 million head, 10.5% larger than the same week in 2015. Dressed weights averaged 215 pounds, the highest since the week ending April 11, 2015.

Feb 16 Hogs settled at $63.750, up $1.025,
Apr 16 Hogs settled at $69.025, up $1.950
May 16 Hogs settled at $75.575, up $1.625

Cotton futures settled 12 to 25 points higher this afternoon on some stability in the world equity markets. Mar16 cotton was able to recover just a tiny piece of its 50 point loss incurred on Wednesday. A few trade analysts expect the USDA Export Sales report tomorrow morning to show sales totaling slightly more than the 171,000 RBs that were reported during the week ending Jan 7 (which was of course shortened by the Jan 1 holiday). The Cotlook A Index was 95 points higher to 69.30. ICE reported that there were 61,233 certified bales were in delivery warehouses on Jan 20, with no new certs and 356 decertified bales. The AWP is 46.90 and the new LDP/MLG is 5.10 cents.

Mar 16 Cotton settled at 62.090, up 12 points,
May 16 Cotton settled at 62.460, up 18 points
Jul 16 Cotton settled at 62.850, up 25 points
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Today Grain Future

Corn futures closed 4 to 5 cents higher on the day. According to EIA data, US ethanol production increased to average 943,000 barrels per day last week, which was up 16,000 b/d from the week before. Stocks of ethanol were down 400,000 at 17.9 million barrels as the reduced July 4 week production was smaller than demand. Ethanol imports averaged 5,000 bpd. Private exporters reported to the USDA export sales of 210,448 MT of corn to unknown destinations for delivery during the 2014/2015 marketing year. In other export news, South Korean buyers were said to have bought 55,000 MT of optional origin corn for December arrival. Trader talk is the EU is now enforcing a €5.32/t import duty ($7.20/MT) on corn in response to US prices dropping below the EU reference price.

Sep 14 Corn closed at $3.78 1/4, up 4 1/4 cents,
Dec 14 Corn closed at $3.86 3/4, up 5 cents,
Mar 15 Corn closed at $3.98 1/2, up 5 1/4 cents
May 15 Corn closed at $4.06 3/4, up 5 cents

Soybean futures closed 6 to 17 cents higher. Private exporters reported to the USDA export sales of 120,000 metric tons of soybeans to China for delivery during the 2013/2014 marketing year; as well as an additional 240,000 MT of soybeans to unknown destinations for delivery during the 2014/2015 marketing year. Chinese futures prices for September have dropped below $19 per bushel, but the import spread is still very attractive even with tariffs and freight. There is also potential for a widespread strike in Argentina. Trader talk is that South Korea’s MFG is tendering for up to 55,000 MT of soy meal.

Aug 14 Soybeans closed at $11.87 1/4, up 6 3/4 cents,
Sep 14 Soybeans closed at $11.21 1/2, up 17 1/4 cents,
Nov 14 Soybeans closed at $11.02, up 15 3/4 cents,
Jan 15 Soybeans closed at $11.10 1/2, up 15 1/2 cents,
Aug 14 Soybean Meal closed at $383.70, up $4.60,
Aug 14 Soybean Oil closed at $36.83, down $0.07

Wheat futures closed mixed, with Chicago fractionally higher. Trader talk is that Algeria has tendered for 50,000 MT of milling wheat for October shipment. The Russia Ag Ministry has commented their total grain harvest will be 100 MMT, which is up 3MMT from the previous forecast of 97 MMT. According to SovEcon, prices for Russian wheat have come down significantly as the new crop becomes available. Chicago futures are holding above a multi-year uptrend line dating back to 2005. Trade expectations for the weekly USDA Export Sales report are modest, as the reporting period includes the July 4 holiday weekend.

Sep 14 CBOT Wheat closed at $5.38, up 1/4 cent,
Sep 14 KCBT Wheat closed at $6.37 1/4, down 1 3/4 cents,
Sep 14 MGEX Wheat closed at $6.28, down 2 1/2 cents

Live Cattle futures settled $0.05 lower to $0.07 higher. Feeders were $0.72 to $1.07 lower. Wholesale beef prices were mixed. Choice boxes were 29 cents higher today at $250.82, with Select boxes down 60 cents at $242.86. The choice/select spread widened 89 cents. A few cash cattle trades have been reported at $155 today, with $244 in Kansas on a dressed basis. Asking prices are mostly in the $248+ range in the north. The CME Feeder Cattle Index was off $0.65 from the previous day at $216.12. Week to date FI slaughter at 344,000 head is down 6.5% from year ago.

Aug 14 Cattle closed at $147.675, up $0.050,
Oct 14 Cattle closed at $151.300, up $0.075,
Dec 14 Cattle closed at $152.050, down $0.050,
Aug 14 Feeder Cattle closed at $209.825, down $1.075
Sep 14 Feeder Cattle closed at $210.500, down $0.725
Oct 14 Feeder Cattle closed at $210.675, down $1.000

Lean Hogs settled $0.17 to $0.75 lower. The average pork carcass cutout value continues to rise seasonally, gaining 71 cents to $135.89 today. The volatile belly primals were down $4.92, but loins were quoted $5.50 higher. The CME Lean Hog Index has tacked on another $0.58 at $133.36. Cash hog prices in the Eastern Corn Belt (ECB) were not reported due to confidentiality rules. The WCB weighted average is down $1.35, with the IA/MN area values down $1.65 from the day before in the pm report. Week to date hog slaughter at 1.555 million head is down 32,000 from last week and off 4.4% from the same point in 2013.

Aug 14 Hogs closed at $130.525, down $0.175,
Oct 14 Hogs closed at $115.075, down $0.750
Dec 14 Hogs closed at $104.000, down $0.400

Cotton futures closed 14 to 24 points lower on the day. December futures on the ICE settled at the lowest reading for an “active month” since June 2012. October is ignored due to limited volume. China cotton futures on the Zhengzhou exchange for Jan delivery were up 0.50%. Cash trading for business to business sales was reported at 54 bales on the Seam. ICE Certified stocks were last reported at 321,455 bales, with 3,953 new certs, 49,712 decerts, and 6,384 bales awaiting review. The Cotlook A Index is down 0.50 at 83.05.

Oct 14 Cotton closed at 68.39, up 14 points,
Dec 14 Cotton closed at 67.64, down 11 points
Mar 15 Cotton closed at 68.3, down 24 points

 

Today Grain Future

Corn futures closed 5 to 9 cents lower on the day. The Sept 14 forged new low for the move at $3.71 before bouncing a few cents to finish at $3.74. Forecasts for much above normal temps in the WCB next week supported the market as crops there have limited deep root development after all the rain in June and early July. On the other hand, things are nice and cool for pollination. 34% of the US crop is now silking. The national crop condition was upgraded again this week with 76% in the good or excellent category. The Brugler500 index rose 2 points to 392.

Sep 14 Corn closed at $3.74, down 7 1/2 cents,
Dec 14 Corn closed at $3.81 3/4, down 6 1/2 cents,
Mar 15 Corn closed at $3.93 1/4, down 5 3/4 cents
May 15 Corn closed at $4.01 3/4, down 5 1/4 cents

Soybean futures closed steady to 16 cents lower on the day. It was a volatile session with the Aug 14 contract establishing a 42 cents range on the day. Earlier today, private exporters reported to the U.S. Department of Agriculture export sales of 120,000 MT of soybeans to China during the 2014/2015 marketing year. Approximately 41% of the national soybean crop has reached the blooming stage; four points ahead of the 37% average for this date. NE is 15 points ahead and MO is 8 points ahead of normal. The Brugler500 Index for crop condition was UNCH from last week. Condition ratings dropped in 10 of the 18 major states, but increased enough in 7 others to leave the index at 381. In the monthly NOPA report, both oil stocks and crush came in on the low side of the average trade expectations. Oil stocks were 1.847 billion pounds at the end of June; monthly crush was reportedly 118.72 mbu.

Aug 14 Soybeans closed at $11.80 1/2, down 16 1/2 cents,
Sep 14 Soybeans closed at $11.04 1/4, down 3 3/4 cents,
Nov 14 Soybeans closed at $10.86 1/4, unch,
Jan 15 Soybeans closed at $10.95, unch,
Aug 14 Soybean Meal closed at $379.10, down $9.50,
Aug 14 Soybean Oil closed at $36.90, up $0.02

Wheat futures closed steady to 8 cents lower on the day. The Sept 14 MGE Wheat contract displayed the most weakness and finished down more than a nickel. According to Sovecon, prices for Russian wheat have come down significantly as the new crop becomes available. USDA reported that HRW harvest has caught up to normal at 69% completed (vs. 68% average). Kansas was reported at 90% harvested, which compares to the 5 year average of 96%. Oklahoma is 97% harvested, just below the 5 year average of 98%. Spring wheat is 69% headed, also vs. a 5 year average of 68% for this week. The spring wheat crop condition rating improved by 1 point. Montana was reported at 68% headed, well ahead of the 5 year average of 54%.

Sep 14 CBOT Wheat closed at $5.37 3/4, unch,
Sep 14 KCBT Wheat closed at $6.39, down 7 1/4 cents,
Sep 14 MGEX Wheat closed at $6.30 1/2, down 8 3/4 cents

Live Cattle futures settled $0.67 to $1.07 higher on the day. Feeders were $0.67 to $1.07 higher. Wholesale beef prices were higher in the morning report, but lost some steam before the afternoon report. Choice boxes were off $0.61 at $250.53 and select boxes averaged $0.96 lower at $243.46. Cash cattle trade has not yet developed for the week, but a few isolated sales were reported between $152-$154, and dressed sales between $243 and $250. The CME Feeder Cattle Index was off $0.85 from the previous day at $216.77. Week to date estimated slaughter is 228K head, off 1K head from a week ago, and 14K head smaller than a year ago. USDA showed a slight deterioration in pasture conditions, with 55% of the acreage rated good or excellent, down from 56% the week before.

Aug 14 Cattle closed at $148.575, up $0.675,
Oct 14 Cattle closed at $151.850, up $0.975,
Dec 14 Cattle closed at $152.500, up $0.225,
Aug 14 Feeder Cattle closed at $211.525, up $1.075
Sep 14 Feeder Cattle closed at $211.825, up $0.900
Oct 14 Feeder Cattle closed at $211.775, up $0.675

Lean Hogs settled $0.22 to $0.50 higher. The average pork carcass cutout value was higher again today, up $0.33 at $135.18. That is the third time in five sessions with the afternoon carcass price reported North of $135. Estimated week to date slaughter is 760K head, 30K head smaller than last Tuesday, and 42K head smaller than the same period a year ago. The CME Lean Hog Index tacked on another $0.40 at $132.78. Cash hog prices in the Eastern Corn Belt (ECB) were not reported today. The WCB weighted average was down $0.88, with the IA/MN area values off $0.51 from yesterday.

Jul 14 Hogs closed at $133.875, up $0.500,
Aug 14 Hogs closed at $130.725, up $0.400
Oct 14 Hogs closed at $115.950, up $0.225

Cotton futures closed 35 to 54 points lower on the day, settling at the lowest price for the front month contract in more than two years. Smaller production prospects are unable to counter the large stocks. ICE Certified stocks were last reported at 367,214 bales, with 1,554 new certs, 16,653 and 9,703 bales awaiting review. The Cotlook A Index is up 0.20 at 83.55. USDA reported 70% of the crop is in the squaring stage; 24% is setting bolls. Cotton condition rating was 53% good/ex, down from 55% last week but above the 42% from year ago.

Oct 14 Cotton closed at 68.25, down 35 points,
Dec 14 Cotton closed at 67.75, down 55 points
Mar 15 Cotton closed at 68.54, down 54 points

 

Today Grain Future

Corn futures closed 4 to 7 cents lower on Wednesday. CONAB raised its Brazilian 13/14 corn production estimate to 78.2 MMT, which compares to the previous month forecast of 77.9 MMT. USDA pegged the Brazil crop at 76.0 MMT in its June report. According to EIA data, US ethanol production slowed to average 927,000 barrels per day, which was down 26,000 b/d from the week before. Stocks of ethanol were up 100,000 at 18.3 million barrels. Ethanol imports (the first in nearly two months) were reported at 9,000 bpd. Earlier this morning private exporters reported to the USDA the export sales of 101,600 metric tons of corn to Japan during the 2014/2015 marketing year; and export sales of 107,696 metric tons of corn to unknown destinations during the 2014/2015 marketing year. The trade average guess for US corn yield on Friday is 165.9 bpa, up from 165.3 in the prior report. Old crop ending stocks are expected to rise to 1.233 billion bushels, with the June 30 report suggesting smaller feed & residual use. New crop stocks estimates are mostly in excess of 1.8 billion bushels.

Jul 14 Corn closed at $4.04, down 4 1/4 cents,
Sep 14 Corn closed at $3.91 1/4, down 7 cents,
Dec 14 Corn closed at $3.98, down 6 1/4 cents
Mar 15 Corn closed at $4.09 1/2, down 6 1/4 cents

Soybean futures settled 4 3/4 higher to 14 lower. Brazil’s CONAB raised 13/14 soybean production to 86.3 MMT, this is up from 86.1 MMT in June but still below the most recent USDA estimate of 87.5 MMT. Trader talk is that Soybean acres in India are expected to drop to the lowest in five years because of the late monsoon season. There were 3 deliveries against the July 14 contract, bringing the MTD total to 35 lots. The trade average yield estimate for the Friday USDA reports is 45.1 bpa according to a Bloomberg survey. Trade expectations for the USDA weekly export sales report in the morning are in the 250,000 to 650,000 MT range, with some again expecting net cancellations for old crop.

Jul 14 Soybeans closed at $13.34 1/2, up 4 3/4 cents,
Aug 14 Soybeans closed at $12.46 1/2, down 2 cents,
Sep 14 Soybeans closed at $11.32, down 8 3/4 cents,
Nov 14 Soybeans closed at $11.03 3/4, down 12 1/2 cents,
Jul 14 Soybean Meal closed at $439.50, up $2.20,
Jul 14 Soybean Oil closed at $37.04, down $0.76

Wheat futures lower on all three exchanges, with double digit losses in the hard wheat markets. There were 18 deliveries against the July 14 CBOT contract overnight, bringing the MTD total to 258 lots. Official Russian wheat exports for last year (July 1-June 30) were 18.297 MMT. Egypt bought 240,000 MT of Romanian wheat for August shipment. US wheat was competitive on a FOB basis, but not after freight. A Bloomberg survey puts the average trade guess for all wheat production at 1.964 billion bushels vs. 1.942 billion in June. USDA will update the number on Friday morning. Traders are looking for USDA to show weekly export sales totaled 350,000 to 650,000 MT last week.

Jul 14 CBOT Wheat closed at $5.39 1/2, down 5 3/4 cents,
Jul 14 KCBT Wheat closed at $6.60 3/4, down 14 1/4 cents,
Jul 14 MGEX Wheat closed at $6.40, down 12 cents

Live Cattle closed $1.30 to $3.00 lower on the day. Feeders were limit down for a while, but both markets rallied back into the close. We suspect a big long or two getting out on trader talk of demand concerns. Wholesale beef prices were mixed in the afternoon report, , with choice boxes up $0.59 and select boxes down $.36. The price for choice was a record at $250.57. USDA reported moderate demand and moderate packer offerings. Cash cattle asking prices appear to be in the $160-162 vicinity with some reported basis trades at $157. The CME Feeder Cattle Index was up $.24 at $214.09.

Aug 14 Cattle closed at $150.800, down $2.725,
Oct 14 Cattle closed at $153.550, down $2.425,
Dec 14 Cattle closed at $154.050, down $1.300,
Aug 14 Feeder Cattle closed at $213.600, down $2.300
Sep 14 Feeder Cattle closed at $215.200, down $2.275
Oct 14 Feeder Cattle closed at $214.875, down $2.675

Lean Hogs closed 90 cents lower to $1.20 higher. The average pork carcass cutout value was $1.05 higher at $135.38 in the afternoon report. The CME Lean Hog Index is up another $0.83 at $130.08. Cash hog prices in the ECB and were not reported due to lack of receipts. The WCB carcass average was up $1.81, with the IA/MN area on average $2.01 higher. Estimated week to date slaughter is 1.187 million head vs. 1.215 million a year ago. That is a 2.4% drop.

Jul 14 Hogs closed at $133.300, up $1.100,
Aug 14 Hogs closed at $129.600, down $0.250
Oct 14 Hogs closed at $115.400, down $0.900

Cotton futures settled 54 lower to 46 higher. December was down for the 10th day in the past 11 sessions. There were 49 deliveries against the July 14 contract overnight, with New Edge being the largest stopper of 36 contacts. Today was the last trading day for July futures. ICE Certified stocks were last reported at 409,824 bales, with 5,941 new certs, 14,569 decerts and 17,846 bales awaiting review. The Cotlook A Index is unchanged at 85.25. USDA is expected to reduce projected abandonment in the Friday report, raising estimated production.

Jul 14 Cotton closed at 74.97, down 3 points,
Oct 14 Cotton closed at 70.55, up 46 points
Dec 14 Cotton closed at 69.67, down 43 points

 

Corn Futures Slump Below $4 for First Time Since 2010 – Bloomberg

Corn Futures Slump Below $4 for First Time Since 2010

Corn futures fell below $4 a bushel for the first time in four years on bets that rain will boost yields for crops in the U.S., the world’s biggest grower. Soybeans extended the longest slump since 2009.

Forecasts for cooler and wet weather in the Corn Belt over the next week will favor plants, Bethesda, Maryland-based Commodity Weather Group said in a report. The showers and mild temperatures are improving the outlook for U.S. production, already forecast by the government to climb to a record for the second straight season.

A bumper crop will help global stockpiles before the 2015 Northern Hemisphere harvest rise to the highest since 2000, a Bloomberg News survey showed. Soybean inventories will probably jump to a record, according to the average estimate by analysts. The prospect of bigger harvests are helping to keep a lid on world food inflation with the United Nations reporting prices in June down for the third consecutive month.

“Now, we have a situation where everything is perfect, and that will probably continue into the middle or end of July,” Dennis DeLaughter, an Austin, Texas-based market analyst at VantageRM.com, said in a telephone interview.

On the Chicago Board of Trade, corn futures for December delivery fell 1.5 percent to close at $3.98 a bushel at 1:15 p.m. Earlier, the price touched $3.95, the lowest for a most-active contract since July 29, 2010. The grain slumped into a bear market last week.

Global reserves may rise to 184.47 million metric tons, the Bloomberg News survey of 15 analysts showed. That would top the USDA’s June forecast of 182.65 million. The agency will update its outlook for world crops on July 11.

Crop Ratings

As of July 6, about 75 percent of the U.S. crop was in good or excellent condition, according to the USDA. About 15 percent of corn was pollinating, compared with 5 percent the previous week.

An index of 55 food items fell 1.8 percent to 206 from 209.8 in May, the UN’s Food & Agriculture Organization said on July 3. World prices were 2.8 percent lower than a year earlier.

Soybean futures for November delivery dropped 1.1 percent to $11.0375 a bushel. The price touched $11.0075, the lowest since Dec. 12, 2011. The price dropped for the eighth straight session, the longest slump since February 2009.

The USDA may raise its forecast for domestic production to 3.789 billion bushels from 3.635 billion estimated last month, according to Bloomberg’s survey. The corn harvest may be 13.931 billion bushels, similar to June’s projection.

Wheat futures for September delivery declined 0.9% to $5.5125 a bushel. The price touched $5.4775, the lowest since July 14, 2010.

To contact the reporter on this story: Lydia Mulvany in Chicago at lmulvany2

To contact the editors responsible for this story: Millie Munshi at mmunshi Patrick McKiernan, Joe Richter