Corn edges up on dry US weather, dollar slips

Corn futures gained modest ground in American trade away from November 15 lows for the 16th session out of 20, as the dollar index fell off July 19 highs, amid a lack of data from the US today, the world's largest corn producer and exporter, while experiencing dry weather and heat waves across the country. 

As of 07:41 GMT, corn futures due on December 15 rose 0.13% to $3.850, while the dollar index shed 0.12% to 95.08 against a basket of major rivals. 

USDA Reports Ratings, Inspections 

In its weekly Crop Progress Report, the US Department of Agriculture cut ratings for corn to 71% as good-to-excellent in the week ending last Sunday from 72% as expected by analysts. 

The USDA also reported inspections of 1.29 million tonnes of corn destined for export in the week ending august 21, compared to 1.66 million in the previous week, with total inspected product in the marketing year starting September now amounting to 52.7 million tonnes, compared to 53.8 million in the same period last year. 

Otherwise, Federal Reserve Bank of Richmond President Thomas Barkin spoke earlier today at a town hall event, in Virginia, where he lauded the the strong performance and outlook for the economy, with stellar growth, unemployment numbers, while wages are growing quickly.

Barkin believes that inflation is heading firmly towards the Federal Reserve's 2% target, while both business and consumer confidence continue to improve, in turn all allowing for the Fed to increase interest rates and tighten policy in a gradual manner.