Markets Busy, Traders Watch U.S. Situation

CHICAGO - Aug 8/06 - SNS -- International agriculture commodity markets were relatively busy overnight, with business reported in corn and wheat and with state-owned companies in India announcing wheat import tenders.

Despite the improvement in business, markets appear more interested in the developing crop picture in the United States in front of Friday's USDA crop estimates.

In its weekly crop condition report, the USDA said only 32% of the spring wheat crop is rated good to excellent, compared to 67% last year and the recent 16-year average of 58%. The proportion of crop rated poor or very poor is 34%, down from 35% last week and 7% last year.

For corn, the USDA estimates 57% of the crop is good to excellent up from 56% last week and 52% last year, but behind the 16-year average of 64%. Crop rated poor or very poor is 18% down from 22% last year, but above the 16-year average of 12%.

Soybeans are rated 53% good to excellent, up from 51% last year, but below the 16-year average of 59%. The percentage rated poor or very poor is 17%, unchanged on the week, down from 19% last year, but above the recent 16-year average of 12%.

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