Corn prices climbed Tuesday, regaining some ground following a big slump, as traders get ready for another report on crop supplies.
Corn rose nearly two percent, gaining 10.75 cents to settle at $6.4425 per bushel.
Sterling Smith, a futures specialist at Citibank Institutional Client Group, said one reason corn traded higher was simply that it had dropped too far in recent weeks.
Prices for the grain have been in a deep slide since March 28. That’s when the U.S. Department of Agriculture said stockpiles of corn were much higher than analysts had expected. “It gave the market quite a bit of a jolt,” Smith said.
Corn has slumped seven percent so far this month. It was trading above $7.35 before the government report came out.
Traders will get a new look at estimates for crop supplies Wednesday. The U.S. Department of Agriculture will release its monthly report on worldwide supply and demand for corn, soybeans and other crops.
In other trading, soybeans rose 1.3 percent, or 17.5 cents, to $13.955 per bushel. Wheat fell, dropping 3.75 cents to $7.0875 per bushel.
Precious metals prices were higher, helped by a drop in the dollar. Contracts for May silver jumped nearly three percent, rising 74.3 cents to settle at $27.881 per ounce.
Gold for June delivery rose $14.20 to $1,586.70 per ounce.
Industrial metals also rose, led by copper. Contracts for delivery of copper in May surged more than two percent, climbing 7.43 cents to $3.4415 per pound.
Platinum for July rose $16.10 to $1,553.10 per ounce.
Palladium for June rose $3.20 to settle at an even $733 per ounce.