South Korean corn importers are expected to stay out of the market this week, but local flour millers will likely seek at least 40,000 tonnes of US wheat for August/September shipments, traders said on Tuesday. "Most local corn buyers will likely take a wait-and-see attitude this week as the US market is expected to be less volatile," said a trader with a foreign grain trading firm. But some buyers may jump into the corn market to cover their needs for August arrivals if there were new weather developments in the major US corn belts, he said. "Some local buyers are currently living hand-to-mouth. Therefore, they may re-invite previously passed corn tenders this week if the market becomes more volatile than last week," the trader said. Traders said the Korea Feed Association's regional members in Pusan passed last Thursday on a tender to buy 50,000 tonnes of US No 3 yellow corn due to high prices. Shipment was set for June 16-July 5, if sourced from the US Gulf orfor July 2-21 if from the Pacific Northwest. Arrival was set for August 5 to the southestern Port of Pusan.

SFE wheat futures mixed

Australian wheat futures prices closed mixed on Tuesday as thin trading continued on the Sydney Futures Exchange. (Prices in Australian $/metric ton, except for the Australian Wheat Board's export selling price, which is in US$/ton. The AWB price is based on Australian Standard White wheat of 10 per cent protein delivered eastern states.)

Egypt buys wheat

Egypt's state grain purchaser has bought 300,000 metric tons of new-crop French soft wheat at $107.45 a ton, free-on-board, European trade sources said Tuesday. In addition, the General Authority for the Supply of Commodities (GASC) purchased 100,000 tons of US wheat at / $116.45 a ton, free-on-board, they said. Both purchases are for delivery in July and August.

French cash wheat prices

French wheat offers at 1005 GMT Monday, with change on day. Quoted free-on-board and delivered, in Frenchfrancs per 100 kg. Add FRF0.36 per extra 15 days, basis July.

Australian wheat board cash prices

The following export wheat cash prices were quoted Tuesday by the Australian Wheat Board, which holds a monopoly on the export of wheat. Prices are quoted in US dollars a metric ton, free on board, in Australia's eastern states. Prices are valid until 0700 GMT Tuesday. Grades quoted are Australian Standard White of up to 10% protein, Australian Hard of 11.5% protein and Prime Hard of 13% protein.

Asian physical rice flat

Asian physical rice offers are unchanged late Tuesday, with talk in the Thai market centered on demand from Indonesia and Brazil, traders said. Thai rice exporters said Indonesia has started to make inquiries and should soon be contracting Thai rice for shipments starting in July. There also is talk that Indonesia will buy another 2 million metric tons of rice for the rest of the year, said one of the rice exporters. Brazil, which typically imports rice from the Mercosurcountries of Argentina and Uruguay, is seen as another potential major buyer of Thai rice this year. It is expected to import some 800,000 tons from outside Mercosur because of a fall in the region's rice output, said the rice-exporter source, adding that that Thai rice should easily account for 50 per cent of that volume.

Korean firm seeks rapeseed meal

South Korea's National Livestock Cooperatives Federation (NLCF) said on Tuesday that it has invited tenders to buy 10,000 tonnes of rapeseed meal by Wednesday. An NLCF official said it has also invited tenders to buy 10,000 tonnes of wheat bran pellet and 6,000 tonnes of cottonseed meal on the same day.

Japan LME aluminium sales up

Aluminium futures prices came under pressure in Asia on Tuesday on the back of selling from Japan, metal dealers in Australia said. The three-month London Metal Exchange aluminium was quoting down about US$7 at S$1,398-$1,402 a tonne from last Friday. Markets in Britain and the US were closed on Mondayforholidays. "We've seen a bit of aluminium selling out of Japan," an LMEdealer in Sydney said. ``With the weaker yen the Japanese may be seeing aluminium a little bit weaker," the dealer added. The Japanese currency has lost about 1.3 yen against the US dollar since Friday. Also a resumption of some rail movements in Russia had dampened the price outlook for the metal, dealers said. About five smelters in Russia, including the Krasnoyarsk Aluminium plant (KRAZ), Russia's second largest, were affected by railway blockades by workers last week.

Cotton market steady

The Sewree cotton market observed steady trend today with scattered demand for quality Sankar-4, 797, Y-1, mech, Wagad and G-12. Around 3500 bales were traded. Following are some of the spot rates per candy. Gujarat sankar-4 Rs 17500/22500, Gujarat 797 Rs 14650/15400, Gujarat Digvijay Rs 16800/17500, Morvi Wagad Rs 14500, Kalagin Rs 13800/13900, MP Y-1 Rs 16500/17800, MP LRA Rs 17000/18000, MP H-4 Rs 18200/18500 and MP Mech Rs19000/20,000. However, Bengal Deshi at Rs 1605/1610, Bhatinda J-34 sg at Rs 2120/2125, Haryana J-34 sg at Rs 2100/2105 and Mukatsar J-34 c/s at Rs 2180/2185 were quoted per mound.

Tea prices fall at Kenya auction

Increased volume and selective United Kingdom buyers pushed tea prices slightly down at the Mombasa auction Monday despite strong demand from Pakistani packers, Tea Brokers Association said. Egypt increased inquiry, and buying for Sudan, the Middle East and Somalia was maintained. The report said brighter BP1's appreciated on average by 10 to 15 cents. Lower mediums from the same grade (BP1) declined by about 6 cents. Last week, all categories of the grade advanced by 15 to 40 cents on average. Brighter PF1s' were firm, while mediums of the grade appreciated by about 5 to 21 cents and sometimes more. Lower mediums (PF1) was firm by about 5 to 17 cents and sometimes more but eased as the sale progressed to last week's closing rates. Last week the brighter PF1 gained up by 60 cents. A totalof 118,521 packages (7 million kgs) were offered from Kenya, Uganda Tanzania, Rwanda, Congo, Zimbabwe and Malawi, compared to 37,360 packages offered at the same time last year.

Sicom rubber futures end down

Rubber futures settled lower Tuesday on the Singapore Commodity Exchange, moving in tandem with rubber futures losses on the Tokyo Commodity Exchange and Osaka Mercantile Exchange, brokers said. Profit-taking selling from long position holders depressed the market, said a Singapore-based Sicom broker. Among the sellers are some European rubber dealers and rubber producers from Southeast Asia, she added. July RSS1 settled 0.75 Singapore cent per kilogram lower at 127.75 cents/kg, while July RSS3 was also down 0.75 US cents a kilogram at 77.50 cents/kg. July TSR20 slipped 0.75 U.S. cents/kg to 75.25 cents/kg.

China rubber futures end higher

Rubber futures on the Hainan Commodity Futures Exchange ended mostly higher Tuesday on technical factors amid thin trade, as a lack of marketmoving news kept most traders sidelined, traders and analysts said. The benchmark August contract gained CNY19 ($1=CNY8.28) to CNY7,040 a metric ton on dealings of 5,180 tons. The domestic cash rubber price in Hainan was quoted down to CNY7,100/ton from CNY7,300/ton last week by one trader.

Tocom/Osaka rubber futures

Rubber futures settled lower Tuesday on the Tokyo Commodity Exchange and Osaka Mercantile Exchange, as the announcement of Japan's domestic rubber stock increase prompted long position holders to close contracts, brokers in Japan said. Natural rubber stocks in Japan as of May 20 totalled 44,829 metric tons, up 2,102 tons, or 4.9 per cent, from 42,727 tons May 10, the Rubber Trade Association of Japan said Tuesday. Prices are down Y2.7-Y3.3 a kilogram on profit-taking selling on both Tocom and OME, brokers said.

(From Reuters & agencies)