Corn, Soybeans Fall as Dollar's Rise Cuts Appeal of U.S. Crops

By Jae Hur

Nov. 18 (Bloomberg) -- Corn declined for the first time in four days and soybeans fell as gains in the dollar reduced the appeal of U.S. supplies. Wheat extended losses.

A measure of the dollar against six major world currencies rose for a second day and is up about 10 percent since Oct. 1. U.S. corn inspections for exports in the week ended Nov. 13 rose 1.2 percent from a week earlier to 25.05 million bushel, the U.S. Department of Agriculture said yesterday in a report.

``The firmer dollar has put pressure on corn and others,'' Takaki Shigemoto, an analyst at Tokyo-based commodity broker Okachi & Co., said by phone today.

Corn for December delivery fell as much as 1.1 percent to $3.815 a bushel in after-hours trading in Chicago and was at $3.835 at 2:37 p.m. Singapore time. Prices gained 1.4 percent yesterday. Futures have fallen 52 percent from a June record.

About 78 percent of the U.S. corn crop was collected as of Nov. 16, less than the 97 percent harvested a year earlier, the USDA said yesterday after the Chicago market closed. Rain and snow in some Midwest growing areas slowed a U.S. harvest that already was delayed by wet weather during planting.

About 95 percent of the soybean crop was harvested, compared with 98 percent a year earlier, the USDA said.

Soybeans for January delivery fell 0.3 percent at $9.0425 a bushel at 2:35 p.m. Singapore time after advancing 1.2 percent yesterday. The price is down 45 percent from a July 3 record.

U.S. Wheat

Wheat for March delivery was down 0.8 percent to $5.4975 a bushel at 2:36 p.m. in Singapore, extending yesterday's 3.6 percent drop. Futures have fallen 59 percent from a record $13.495 on Feb. 27.

U.S. winter-wheat conditions unexpectedly declined last week, according to the USDA. About 66 percent of the winter crop was in good or excellent condition as of Nov. 16, down from 68 percent a week earlier, the USDA said yesterday.

Japan is going invite tenders later today to buy milling wheat this week. A group of Philippine feed millers and meat producers plan to buy 60,000 tons of soybean meal and 60,000 tons of feed wheat in a tender tomorrow, two traders invited to offer said. Bangladesh is seeking to import 100,000 tons of wheat.

To contact the reporter for this story: Jae Hur in Singapore at jhur1@bloomberg.net