Corn advanced on speculation that the U.S. may forecast global stockpiles before this year’s harvest at the lowest level in four years. Wheat also climbed. July-delivery corn rose as much as 0.6 percent to $7.1175 per bushel on the Chicago Board of Trade and was at $7.10 at 2:43 p.m. in Tokyo. The grain has rallied 88 percent in the past year on harvest disruptions and increased demand. The U.S. Department of Agriculture may forecast global corn reserves before the Northern Hemisphere harvest at 122.5 million metric tons, according to a Bloomberg News survey of 14 analysts. The USDA is set to release the estimate at 8:30 a.m. in Washington. Last year, inventories were 145.8 million tons. “There’s buying in the corn market ahead of the USDA report on concern over dwindling global stockpiles,” said Toshimitsu Kawanabe, an analyst at broker Central Shoji Co. Corn planting in the U.S. is advancing at half of last year’s pace because of excess rain, government data show. About 40 percent of the crop was planted as of May 8, advancing from 13 percent a week earlier, the USDA said on May 9. Still, the pace of sowing was behind last year’s 80 percent and the previous five-year average of 59 percent. China’s corn prices may extend gains from a record amid strong demand and increased storage costs, a government- affiliated researcher said. Farmers have sold most of their harvest and buyers will need to get supplies from trading companies, which charge higher prices to meet storage costs, Grain.gov.cn said in a daily report today. Soybeans Spot corn in the eastern province of Shandong jumped as much as 40 yuan to a record 2,300 yuan ($354) a ton yesterday, while prices in Hebei and Henan also gained, the report said. July-delivery wheat was up 0.2 percent at $8.0025 per bushel, gaining for a fourth day. The Canadian Wheat Board said fields are so muddy that only 3 percent of grain has been sown, compared with 40 percent normally. At the same time, drought has left the Kansas wheat crop in the worst shape since 1996, and dry spells are threatening crops in France, Western Australia and China. Texas crop output has “pretty much shut down” because of drought conditions in the state, according to an agricultural program at Texas A&M University in College Station. As much as 60 percent of the state’s wheat crop won’t be harvested, Travis Miller, a program leader with the university’s AgriLife Extension Service, said yesterday. The global wheat inventory will likely be 182.1 million tons before the start of the Northern Hemisphere harvest, smaller than the USDA’s estimate of 182.83 million tons last month, according to the average estimate of the 14 analysts surveyed by Bloomberg News last week. Soybeans for July delivery were little changed at $13.39 per bushel in Chicago after three days of gains. The price rose 39 percent in the past year on record Chinese purchases of the oilseed, which is used to make livestock feed and cooking oil. To contact the reporter on this story: Jae Hur in Tokyo at jhur1@bloomberg.net To contact the editor responsible for this story: James Poole at jpoole4@bloomberg.net

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