Corn rebounds from 1-month low; easing supply worries limit gains


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CANBERRA — U.S. corn futures edged higher on Wednesday, rebounding from a one-month low touched in the previous session, although gains were checked by easing concerns about global supplies.

FUNDAMENTALS

* The most active corn futures on the Chicago Board Of Trade were up 0.4% at $6.23-3/4 a bushel by 0201 GMT, having closed 5.6% lower in the previous session when prices hit an April 22 low of $6.17-1/4 a bushel.

* The most active soybean futures were little changed at $15.12 a bushel, having closed down 0.7% in the previous session.

* The most-active wheat futures were down 0.5% at $6.53-1/4 a bushel, having closed 0.9% lower in the previous session when prices hit an April 15 low of $6.46-3/4 a bushel.

* The U.S. Department of Agriculture (USDA) said farmers had planted 90% of intended corn acres as of Sunday, above the five-year average of 80% and just below an average estimate of 91% in a pre-report Reuters poll.

* Brisk planting, coupled with regular rain in the U.S. Midwest, has taken attention away from global supply tensions, although cool spring temperatures have raised some question marks.

* U.S. soybean planting remained ahead of the average pace of recent years, although it was a touch below analyst expectations, the USDA data showed.

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MARKET NEWS

* The dollar wallowed near its weakest since early January against major peers on Wednesday, as Treasury yields eased amid Federal Reserve insistence that stimulus will continue despite current inflationary pressures.

* Oil prices were steady on Wednesday as concerns a possible resumption in Iranian supply would cause a glut were offset by hopes for stronger U.S. fuel demand after a drop in weekly inventory estimates by the American Petroleum Institute.

* World equity markets made gains while the U.S. dollar hit new lows against major currencies on Tuesday after Federal Reserve officials reaffirmed a dovish monetary policy stance that eased inflation concerns.

(Reporting by Colin Packham; Editing by Ramakrishnan M.)



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