CBOT Closing Comments

Corn

Corn futures retreated after posting gains at midday but only closed modestly lower. Trade has been active but price movement has not. Little fresh news to fuel the corn market in any direction but the bearish trend still exists. USDA's chief economist is calling for nearly 90 million acres to be planted for corn next year and may be optimistic about that figure. Crude oil continues to make new lows this week and is currently trading around $46 per barrel. Deliveries issued against front month Dec were 1,971 contracts. The US Dollar is inching higher at midday limiting gains in grains and other commodities. USDA indicated that an additional 120,000 MT to Mexico. Dec -1/2 at 3.32.

Soybeans

Soybeans surrendered most of the gains that were marked during midday trade and closed moderately higher. The soy complex was mixed with beans and meal pegging gains but bean oil closed slightly lower. After crude turned south so did much of the soy complex. Argentina crop conditions are improving as they are trying to finish up planting now that rain has fallen over the past few days. Deliveries issued against Dec meal were a mere 2 contracts but Dec bean oil issued were lighter than the previous day at 634 contracts. Jan +3 at 8.30; Dec Meal +1.90 at 248.00; Dec BO -14 at 30.28.

Wheat

Wheat futures closed lower at the three exchanges and like corn and soybeans retreat from higher prices in earlier trade. Short covering helped to initially boost wheat futures at CBOT and KCBT but prices declined as a large fund was quoted liquidating long positions. Russia is attempting to develop a subsidy for wheat exports to guarantee shipments; the market has already been flooded with Black Sea wheat and has collapsed US wheat exports. Deliveries against CHI Dec contract were 3,499 contracts. Dec CHI -9 at 5.00; Dec KC -8 at 5.29; Dec MLPS -2 at 5.88.