GRAINS-U.S. weather fears, short covering lift prices

martes 8 de marzo de 2016 16:27 GYT
 

* Warm weather in U.S. Plains raises worries for wheat crop

* Traders await USDA crop data due out Wednesday

* Exporters sells U.S. soybeans to China, unknown destinations (Adds closing prices)

By Tom Polansek

CHICAGO, March 8 (Reuters) - U.S. grain futures edged higher on Tuesday on concerns that unfavourable crop weather could threaten domestic production, as markets temporarily shook off the weight of massive global inventories.

Technical buying and short covering ahead of a monthly U.S. Department of Agriculture report on Wednesday helped fuel the gains, traders said.

Wheat traders were watching weather forecasts as above-normal temperatures in recent weeks have brought the crop grown in the Great Plains out of dormancy earlier than normal, leaving plants vulnerable to damage if a late-spring freeze hits the region.

Some corn and soybean traders also were worrying about the weather, even though most farmers will not begin planting the crops for weeks.

"Corn bulls are keeping an eye on U.S. weather as many inside the trade start to worry about pockets of dry conditions in the southwest Plains and problems with too much rainfall and flooding in parts of the Delta," said Kevin Van Trump, president of Missouri-based consultancy Farm Direction.   Continuación...