U.S. wheat, corn futures decline after Tuesday's sharp rally

Investing.com - U.S. wheat and corn futures declined on Wednesday, one day after posting strong gains on the back of growing concerns over crop conditions in the Midwest.

On the Chicago Mercantile Exchange, US wheat for July delivery shed 5.9 cents, or 1.13%, to trade at $5.1550 a bushel during U.S. morning hours.

A day earlier, wheat rallied to $5.2260, the most since June 10, before ending at $5.2140, up 20.2 cents, or 4.04%, amid concerns over the pace of the winter-wheat harvest.

According to the U.S. Department of Agriculture, nearly 19% of the U.S. winter-wheat crop was harvested as of June 21. Approximately 31% of the crop was harvested in the same week a year earlier, while the five-year average for this time of year is 31%.

About 41% of the U.S. winter-wheat crop was rated good to excellent as of last week, down from 43% in the preceding week. The agency also said that nearly 71% of the spring-wheat crop was in good to excellent condition, compared to 70% a week earlier.

Meanwhile, US corn for July delivery dipped 3.12 cents, or 0.85%, to trade at $3.6388 a bushel. On Tuesday, corn rose to $3.6860, the strongest level since May 18, before settling at $3.6740, up 7.4 cents, or 2.08%.

Approximately 71% of the corn crop was in good to excellent condition as of June 21, according to the USDA, down from 73% in the preceding week.

Elsewhere on the Chicago Board of Trade, US soybeans for July delivery lost 4.75 cents, or 0.48%, to trade at $9.8225. Prices of the oilseed jumped to $9.9600 on Tuesday, a level not seen since March 12, before turning lower to close at $9.8740, down 2.0 cents, or 0.2%.

The USDA said that nearly 65% of the soybean crop was in good to excellent condition as of June 14, down from 67% in the preceding week and compared to 72% in the year-earlier period.

Almost 90% of the soybean crop was planted as of last week up from 87% in the preceding week. Approximately 95% of the crop was planted in the same week a year earlier, while the five-year average for this time of year is 95%.

Soybean emergence was 84% complete, improving from 75% a week earlier, while the five-year average pace for the week is 87%.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.