Chicago agricultural commodities close lower as crop health impresses, big harvests loom

Chicago Board of Trade (CBOT) grains futures closed lower Tuesday, weighed down by signs that U.S. crops are still in prime health as the fall harvest nears.

The most active corn contract for December delivery was down 5.25 cents, or 1.53 percent, to 3.3725 dollars per bushel. December wheat delivery fell 7.75 cents, or 1.78 percent, to 4.2725 dollars per bushel. November soybeans fell 2.25 cents, or 0.22 percent, to 10.135 dollars per bushel.

Corn prices fell for a second consecutive session, pressured in part by federal data showing conditions for the nation's grain crop improved last week, which added to optimism over the government's recent forecast for a record harvest.

The U.S. Department of Agriculture earlier this month predicted U.S. farmers would raise 15.2 billion bushels of corn in 2016 after benevolent weather blessed much of the Midwest during the growing season.

Soybeans prices slipped, buffeted by unusually strong crop ratings. Seventy-two percent of U.S. soybeans were rated good to excellent as of Sunday, according to the USDA, and analysts say this would mark the second highest rating for this time period in the past 30 years.

Grain analysts also believe the USDA could revise upward its forecast for soybean output this year thanks to good growing conditions and favorable August weather. Still, robust demand for the oilseeds is preventing further declines in the market, they said. Endit