Nogger's Blog

19/03/12 -- Soybeans: May 12 Soybeans closed at USD13.66 1/2, down 7 1/2 cents; Nov 12 Soybeans closed at USD13.25 1/2, down 2 3/4 cents; May 12 Soybean Meal closed at USD370.90, down USD3.50; May 12 Soybean Oil closed at 55.40, down 10 points. profit-taking was the order of the day after the recent impressive run higher. Funds were light sellers, offloading 3,000 bean contracts on the day. Weakness from wheat and corn was a bit negative but continued Chinese interest (they bought two more US cargoes on Friday) and news of an Argentine truckers strike lent support.

Corn: May 12 Corn closed at USD6.63 1/2, down 9 1/2 cents; Dec 12 Corn closed at USD5.70 1/4, down 4 cents. Funds were thought to have ditched 10,000 contracts on the day on beneficial US weather. Above normal rainfall for the Plains and WCB this week combined with much warmer than normal temperatures over the weekend look set to get the 2012 corn crop off to a good and early start. Soil temperatures are already above the 50 F threshold for corn germination, report Martell Crop Projections. Weekly corn export inspections of 23.2 million bushels were poor compared to 38.5 million last week and the 30-35 million expected by the trade. Safras e Mercado estimate the 2011/12 Brazilian corn crop at a record 63.26 MMT.

Wheat: May 12 CBOT Wheat closed at USD6.52 1/4, down 19 3/4 cents; May 12 KCBT Wheat closed at USD6.91 1/2, down 14 cents; May 12 MGEX Wheat closed at USD8.07, down 15 3/4 cents. News that Russia says that there will be no need for export restrictions in the current marketing year was negative. Weekly export inspections were a bit disappointing at 20.982 million bushels, well below the 31.7 million from last week. Heavy rain fell overnight and early this morning on the southern Great Plains, aiding winter wheat development there. Kansas wheat is rated 53% good/excellent, with 12% of the crop jointed.