Rural commodities were mixed on Tuesday, with grains extending previous losses and coffee and wheat posting mild gains. Weakening demand for US exports coupled with uncertainty over Fed actions created heavy selling pressure on grains. At the same time, supply threats caused by storm in the Gulf of Mexico supported coffee and sugar futures.
Wheat faced the longest decline in 11 months after Egypt, the world's top importer, denied US supplies and bought cheaper wheat from Russia.
Corn plunged as farmers across the globe are increasing planting acres to meet import demand after the severest drought in the US in the last 50 years reduced crops.
Sugar bounced off record lows on hopes that a 19% slump in mid-July was overdone and demand will increase soon.
Coffee extended its rally on speculation that Hurricane Isaac will damage coffee beans stored in warehouses in New Orleans.