CBOT Closing Comments


January soybean futures closed at USD10.12, down 10 cents; January soymeal futures at USD305.40, down USD2.00; January soy oil futures are at 38.33, down 31 points. Informa increased their estimate for the 2009 US soybean crop to 3.42 billion bushels, up from 3.333 billion last month and 102 million above the USDA's November figure. The did however cut their 2010 planting estimate to 77 million, down 500,000 from the area sown in 2009.


March corn futures closed at USD3.97 ¾, up ¾ cent; May corn futures at USD4.08 ½, up ¾ cent. Informa reduced their estimate for the 2009 US corn crop from 13.64 billion bushels to 12.97 billion. They increased their estimate for 2010 US seedings to 89.5 million acres, 3.1 million more than the area sown in 2009, and the second largest area on record. China have reduced the import levy on ethanol from 30% to 5%, under pressure to green up it's act, that might lead to increased demand from the world's largest polluter.


March CBOT wheat futures closed at USD5.28, up 9 ½ cents; March KCBT wheat futures at USD5.24 ¼, up 9 ¼ cents; March MGEX wheat futures at USD5.35 ¼, up 6 cents. Informa said that US farmers will reduce winter wheat area by almost 4 million acres - from 43.31 million to 39.45 million - the lowest for a decade. This is likely due to disenchantment with the low price and slack demand for wheat, and also the lateness of the US corn and soybean harvest in some states this year.