CBOT Closing Comments


Corn futures opened sharply lower this morning but traded well off those lows by the end of the session. Crude oil closed down $5.87 to its lowest level since February at $95.34/barrel. Many uncertainties linger and volatility has increased for trading in many commodities. Heavy rains fell over the weekend throughout the Corn Belt and worries of flooding are boosting prices on potential damage to crops and delaying harvest. Weather forecasts are benign, with above normal temps seen across the central US over the next 6-10 day forecast period and should help dry some fields to prepare for harvest. Dec traded in a range -15 1/4 at the open to +10 3/4 before closing -1 1/4 at 5.62/bushel.


Soybeans futures closed lower but backed off from opening trade lows. Beans were initially pushed lower with concerns in the financial sector as funds might continue liquidating positions. Bearish NOPA crush report and lower crude oil weigh in on prices. However, recent heavy rains further delaying harvest in southern regions is helping to underpin the markets as supply remains tight. Weather is forecast to improve in the coming week and should help start or speed up harvest. Nov -23 at 11.79; Oct Meal +0.20 at 336.50; Oct BO -143 at 46.08/lb.


Wheat futures opened lower but closed higher, although well off session highs in a volatile session. Wheat saw a nice short covering rally after several previous sessions were lower. Upside potential may be limited due to estimates of a record size global wheat crop. Wheat is also receiving help from strength in the CBOT corn futures. Dec CHI +7 3/4 at 7.27/bushel, 13c off session highs.