South African maize futures ended sharply weaker on Monday as market players cleared their positions ahead of the US government crop report on Wednesday.
The report provides forecasts of supply and demand for major US and global crops.
The near-dated May 2012 white maize contract was down R35.60 to R2,026.40 per ton, July 2012 white maize lost R43 to R1,970 per ton, and September 2012 white maize shed R42 to R2,000 per ton, according to preliminary I-Net Bridge data.
The near-dated May 2012 yellow maize contract was R44 in the red at R1,925 per ton, the July 2012 yellow maize contract slid R43 to R1,928 per ton and the September 2012 yellow maize contract dropped R31 to R1,965 per ton.
Robert Steynberg, a trader at Vrystaat Koöperasie Beperk, said: “Today's market performance was probably overdone on the downside. We could see a relief rally after the report.”
The May wheat contract was, however, up R25 to R2,695 per ton, July wheat gained R17 to R2,747 per ton, while the September 2012 wheat contract lifted R23 to R2,811 per ton.
Meanwhile, Dow Jones Newswires reported that US corn futures close mixed on Friday. Front-month US corn futures closed higher on strong cash-basis levels, while deferred contracts fell amid a good start to the country's growing season.
Chicago Board of Trade May corn ended up 1.8%, at $6.62 1/4 a bushel, July corn, the most actively traded contract, rose 5 3/4 cents to $6.20 1/4 a bushel, while December corn fell 5 1/4 cents to $5.24 1/4 a bushel. - I-Net Bridge