Overnight market developments

Corn and beans have bounced a little this morning following another round of heavy losses last night. Wheat is flat.

Crude oil has rebounded from a six week low and that seems to have taken beans and corn with it a little. Crude is currently $132.01/barrel.

Still, I guess that the market was due some sort of minor correction after corn had it's biggest weekly drop in twelve years last week after Argentina revoked it's controversial export tax increase and the US midwest weather outlook continues favourable.

This mornings gains came after corn and soybeans fell to the lowest in six weeks yesterday on speculation warm, wet weather in the U.S. Midwest will boost the yield potential. Crude was little changed after recovering yesterday as a storm entered the Gulf of Mexico, and Iran resisted demands to suspend nuclear research.

Corn is around 3-4c firmer this morning and beans 18-18c higher, although both products are still net down from Friday night's close after suffering heavy losses Monday.

Wheat is flat to 3c firmer overnight.

Last night's crop progress report showed a surprise jump in spring wheat conditions rated good/excellent.

Australian ASX Jan wheat is A$3 lower at A$317/tonne.