By Madelene Pearson
Jan. 30 (Bloomberg) -- Corn and soybeans headed for a weekly loss amid speculation that rain will revive crops hurt by dry weather in Argentina and Brazil, the world’s biggest exporters of the commodities after the U.S.
Some Argentine fields may get as much as 1 inch (2.5 centimeters) of rain from two storms in the next week, boosting moisture, Allen Motew, a meteorologist for QT Information Systems in Chicago said yesterday. Parts of Brazil will receive three times the normal amount of rain in the next seven days.
“It’s all South American weather driven at the moment,” Michael Pitts, director of commodity sales, National Australia Bank Ltd., said from Sydney. “Depending on whether that rainfall eventuates or not, that will really drive the market going forward.”
Brazil and Argentina have faced a drought just as farmers need water for a critical growth period.
Corn for March delivery fell 0.7 percent to $3.79 a bushel on the Chicago Board of Trade in after-hours electronic trading at midday in London. Prices are down 2.9 percent this week after falling the previous three weeks.
Soybeans for March delivery rose 0.1 percent to $9.715 a bushel. Prices are down 3.7 percent this week and dropped the previous two weeks.
Wheat for March delivery fell 0.2 percent to $5.77 a bushel after falling 2.9 percent yesterday. The grain has fallen 57 percent from a record $13.495 on Feb. 27.
“There’s not a lot of positive news out there,” Doug Whitehead, agricultural commodity strategist at Australia and New Zealand Banking Group Ltd. said by phone from Melbourne.
To contact the reporter on this story: Madelene Pearson in Melbourne on mpearson1@bloomberg.net
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