CBOT Closing Comments


Corn futures closed lower Wednesday on speculative liquidation. Corn futures fell after little follow through support from Tuesday's late rally. No deliveries were posted against the September contract. Funds sold an estimated 4,000 contracts. Weather remains friendly to corn as it nears maturity; frost threats have been delayed from recent forecasts but there are mixed forecasts throughout the next 10-14 days. The US dollar Index firmed from yesterday's decline and pushed up next to 80 points, crude oil was also lower, both weighing in on prices. China is projecting record corn and soybean production adding pressure. Sep -7 at 5.22


Soybeans futures witnessed sharp declines Wednesday. Soybeans were unable to find any fresh news to lend support and gave away to continued fund liquidation. Funds were sellers of an estimated 3,000 bean contracts, 2,000 meal contracts, and 1,000 soybean oil contracts. 33 deliveries were posted against the September CBOT contract. Frost threats do have some traders on pins as beans may be more vulnerable than corn. Trade maybe looking to square up positions or seek further direction when USDA releases the monthly production estimates Friday. Sep Beans -27c at 11.81; Meal -4.4 at 336.80; BO -49 at 47.69


Wheat futures closed modestly lower after posting large losses. The wheat market has had little bullish fundamental news to help offset the recent collapse. Egypt passed the US up and bought 190,000 tonnes of Ukrainian, Russian, and French wheat. The bypass may be a result of the recent gains in the dollar. Funds sold 2,000 CBOT contracts. A total of 487 deliveries were posted against the CBOT Sep contract. Sep CHI -4c at 706; KC -8 at 7.46; MPLS -10 at 7.80