Chicago Close

17/02/11 -- Soybeans: beans rebounded sharply from the losses of the past couple of days closing with gains of 38-40c. Trade rumours that China’s Ministry of Commerce may be considering cutting import taxes got the market all excited as fund bought an estimated 19,000 contracts on the day. Weekly export sales were a tad disappointing at 396,400 MT, and new crop cancellations were also a concern.

Corn: corn hit fresh contract highs today and are now very close to all-time highs set back in the euphoria of 2008. Export sales were at the upper end of trade estimates at a combined total of 1,168,700 MT, prompting funds to buy an estimated 15,000 contracts on the day. Strategie Grains cut their EU-27 corn crop estimate by 300,000 MT to 58.3 MMT.

Wheat: CBOT March wheat rose 13 3/4c to USD8.50 3/4 a bushel whilst KCBT March jumped 23 1/4c to USD9.53 1/4 and MGEX March climbed 23 1/2c to USD9.81. Export sales were strong at 726,300 MT against expectations of 400 - 600 TMT. EU soft wheat export licences cam in at 356,000 MT, a big step up from last week, but less than needed to meet USDA targets.