By Joe Stonor
A roundup of key agricultural commodity markets for the week of June 29-July 3 by Dow Jones Newswires in Barcelona.
GRAINS & OILSEEDS: A slew of jobs releases will define the macroeconomic picture. Hotter-than-expected prints would provide further room for the U.S. Federal Reserve to hike rates later this year, a move that is typically bearish for agricultural commodities.
More directly relevant to the sector, the U.S. Department of Agriculture's grains stocks and acreage reports will be closely read upon its release Tuesday. The report provides data on crop supplies and planting totals. Markets are currently pricing in a reduction in corn planting as farmers shift to soybean production.
Trading will likely be volatile around the report, Peak Trading Research analysts said.
Despite hotter and drier weather causing an uptick in grains last week, the conditions will only impact prices if they last into mid July, the analysts said.
Wheat futures slipped 1.1% in Chicago to $5.83 a bushel in European afternoon trade Monday, while corn futures fell 2.3% to $4.32 a bushel. Soybean contracts were down 1.5% to $11.39 a bushel.
SOFT COMMODITIES: Cocoa prices fell back slightly Monday after topping $5,300 a metric ton last week on rising fears around the supply impact of El Nino and heavy West African rains. Futures fall 3.5% in New York to $4,918 a metric ton.
Prices have rallied 31% since the beginning of May, but markets are pricing in too big a premium to account for El Nino, Rabobank analysts said.
Coffee continuous contracts nudged 0.7% higher to $2.75 a pound.
Sugar rose 1.6% to 14.74 cents a pound, extending a recovery from losses last week. A strong Brazilian harvest and lower crude oil prices had weighed on prices, Rabobank analysts said.
Write to Joe Stonor at josephmichael.stonor@wsj.com