CHICAGO, March 8 (Xinhua) -- Chicago grain prices fell for a second straight trading day on Tuesday, as a stronger dollar reduced the appeal of agricultural products. Besides, winter storm in Kansas is expected to boost wheat crop and thus pressured the market.
The most active corn contract for May delivery closed at 7.055 U.S. dollars per bushel, down 12 cents, or 1.7 percent. May wheat shed 21 cent, or 2.6 percent, to 7.7975 dollars per bushel. May soybean lost 13 cents, or 1.3 percent, to 13.82 dollars per bushel.
Market analysts said that the grain markets, on the whole, were pressured by rebound in U.S. dollar. The dollar index, which measures the U.S. unit against six currencies, rose to 76.788, up from 76.488 in late Monday.
A stronger U.S. dollar makes grains, which are mainly priced by U.S. dollar, more expensive to investors holding other currencies, and thus, reduces their appeals.
Analysts noted the coming wet weather could help improve moisture in Kansas, the biggest winter-wheat grower in U.S.. The National Weather Service said that parts of Kansas may get as much as nine inches (23 centimeters) of snow on Tuesday.
Areas of the Kansas were in severe drought before and as a result, only 25 percent of wheat in Kansas was rated as "good" to "excellent" as of March 6, which is the lowest rating for early March since 2002.
On the corn and soybeans markets, expectations for a bumper soybean and corn crop from South America also weighed on prices.
Concerns about dryness in Argentina have supported corn and soybean prices throughout the winter but crop forecasters have boosted their harvest outlook for that region during the past week.
Editor: yan
