CBOT Closing Comments
Soybeans
July soybeans closed at USD9.51 1/2, up 5 1/4 cents; July soybean meal at USD290.00, up USD0.30; July soybean oil is at 37.39, up 49 points. A weaker US dollar and firmer crude oil were supportive. Widespread and heavy rains are seen hampering getting the remainder of the US crop planted. After the close, USDA said that 91% of the US crop is planted, versus 84% the previous week and 90% for the 5 year average. Crop condition ratings fell two points to 73% good/excellent.
Corn
July corn closed at USD3.53 3/4, up 4 1/4 cents; Dec corn at USD3.75, up 4 cents. Whilst wet weather is seen as bullish for soybeans it is currently being viewed as beneficial for US corn. The USDA appear to agree, pegging crop condition ratings at77% good/excellent, up one point from last week. China was confirmed as buying another two cargoes of old crop US corn, and rumoured to have bought more. The ongoing BP oil spill saga is seen as potentially aiding an increase in the maximum blending limit for ethanol in gasoline, which would help corn demand.
Wheat
July CBOT wheat closed at USD4.51 1/2, up 10 3/4 cents; July KCBT wheat at USD4.79 1/2, up 12 1/2 cents; July MGEX wheat at USD5.23 1/4, up 21 1/2 cents. Minneapolis spring wheat led the way after the Canadian Wheat Board said that heavy flooding there will cause farmers to leave between 8.25 million and 12.5 million acres unplanted this year. After the close the USDA pegged 9% of the winter wheat crop as harvested, trailing the 12% average for this time of year as wet weather there also hampers progress. Even so spring wheat crop ratings improved to 86% good/excellent compared to 84% last week.
July soybeans closed at USD9.51 1/2, up 5 1/4 cents; July soybean meal at USD290.00, up USD0.30; July soybean oil is at 37.39, up 49 points. A weaker US dollar and firmer crude oil were supportive. Widespread and heavy rains are seen hampering getting the remainder of the US crop planted. After the close, USDA said that 91% of the US crop is planted, versus 84% the previous week and 90% for the 5 year average. Crop condition ratings fell two points to 73% good/excellent.
Corn
July corn closed at USD3.53 3/4, up 4 1/4 cents; Dec corn at USD3.75, up 4 cents. Whilst wet weather is seen as bullish for soybeans it is currently being viewed as beneficial for US corn. The USDA appear to agree, pegging crop condition ratings at77% good/excellent, up one point from last week. China was confirmed as buying another two cargoes of old crop US corn, and rumoured to have bought more. The ongoing BP oil spill saga is seen as potentially aiding an increase in the maximum blending limit for ethanol in gasoline, which would help corn demand.
Wheat
July CBOT wheat closed at USD4.51 1/2, up 10 3/4 cents; July KCBT wheat at USD4.79 1/2, up 12 1/2 cents; July MGEX wheat at USD5.23 1/4, up 21 1/2 cents. Minneapolis spring wheat led the way after the Canadian Wheat Board said that heavy flooding there will cause farmers to leave between 8.25 million and 12.5 million acres unplanted this year. After the close the USDA pegged 9% of the winter wheat crop as harvested, trailing the 12% average for this time of year as wet weather there also hampers progress. Even so spring wheat crop ratings improved to 86% good/excellent compared to 84% last week.