CBOT Closing Comments
Corn
May corn closed at $3.96 ¼, up 3 ¼ cents. Outside markets were steady today, which helped the cause for corn. The weather outlook is still pretty cool & wet which may delay plantings a little. The 6 to 10 day forecast shows above normal precipitation through May 10th for states east of the Missouri River all the way to the east coast from the Gulf to the Canadian border on already saturated soils in the Ohio River valley. Export sales were strong again at 1,225,200 MT and 116,000 MT for delivery in 2009/10. In addition South Korea bought 220,000 MT of corn overnight.
Soybeans
May soybeans closed at $10.70, up 36 cents. China announced it will expand soybean reserves from 6 to 7.25 MMT, and confirmed their presence in the export market by booking 468,400 MT of old crop beans in the USDA's weekly export sales report. The impressive pace of US export sales & shipments should further tighten old crop ending stocks in next month's USDA report. Also supportive was the Buenos Aires Grain Exchange dropping its Argy crop estimate to 34 MMT, with some private analysts now citing a crop of just 32 MMT.
Wheat
May CBOT wheat finished at $5.24 ¼, up 3 ½ cents. Flooding in Kansas and North Dakota is a concern for both winter and spring wheat, both states are the largest US producers for each commodity respectively. As much as six times the normal amount of precipitation has fallen in parts of Kansas, Oklahoma and Texas in the past month. Canada revised its 2009 production estimates saying that non-durum wheat production will fall 10% to 20.8 MMT. Largely dry conditions over the next three months in Argentina will have an negative impact on wheat plantings there, which are already forecast 19% lower.
May corn closed at $3.96 ¼, up 3 ¼ cents. Outside markets were steady today, which helped the cause for corn. The weather outlook is still pretty cool & wet which may delay plantings a little. The 6 to 10 day forecast shows above normal precipitation through May 10th for states east of the Missouri River all the way to the east coast from the Gulf to the Canadian border on already saturated soils in the Ohio River valley. Export sales were strong again at 1,225,200 MT and 116,000 MT for delivery in 2009/10. In addition South Korea bought 220,000 MT of corn overnight.
Soybeans
May soybeans closed at $10.70, up 36 cents. China announced it will expand soybean reserves from 6 to 7.25 MMT, and confirmed their presence in the export market by booking 468,400 MT of old crop beans in the USDA's weekly export sales report. The impressive pace of US export sales & shipments should further tighten old crop ending stocks in next month's USDA report. Also supportive was the Buenos Aires Grain Exchange dropping its Argy crop estimate to 34 MMT, with some private analysts now citing a crop of just 32 MMT.
Wheat
May CBOT wheat finished at $5.24 ¼, up 3 ½ cents. Flooding in Kansas and North Dakota is a concern for both winter and spring wheat, both states are the largest US producers for each commodity respectively. As much as six times the normal amount of precipitation has fallen in parts of Kansas, Oklahoma and Texas in the past month. Canada revised its 2009 production estimates saying that non-durum wheat production will fall 10% to 20.8 MMT. Largely dry conditions over the next three months in Argentina will have an negative impact on wheat plantings there, which are already forecast 19% lower.