eCBOT Close/Early Call
eCBOT grains closed mixed Thursday after surging higher early in the session on follow-through buying and hopes that a weaker dollar will increase export demand.
Corn futures were fractionally lower to fractionally higher in most contracts, soybeans 2 to 5 cents higher and Chicago wheat mostly 1 cent lower to 13 cents higher in overnight trade.
Yesterday's Fed rate cut, and a similar one in China, may help spur demand traders seem to think. Lower freight rates and a weaker dollar are also being cited as reasons for this mornings rally.
By mid-morning though things ran out of steam and the markets eased back to close around unchanged levels.
There are still lingering fears that the credit crisis is far from over. Despite world central banks injecting billions into the market to aid liquidity, all the banks seem to be doing is using the money to buy each other and pay off their derivative losses.
The next big question is what happens if & when the money runs out? AIG have sucked up $90 billion of its extended $123 billion lifeline already in a few short weeks, suggesting that they will be back cap in hand for more before we see November out.
Will they and others like them get it? How many more are there? And where is it all going to come from?
We might only be passing the finishing post for the first time with another full circuit to go yet.
Early calls for this afternoons CBOT session: Corn and wheat futures are expected to open steady; soybeans steady to 5 higher.
Corn futures were fractionally lower to fractionally higher in most contracts, soybeans 2 to 5 cents higher and Chicago wheat mostly 1 cent lower to 13 cents higher in overnight trade.
Yesterday's Fed rate cut, and a similar one in China, may help spur demand traders seem to think. Lower freight rates and a weaker dollar are also being cited as reasons for this mornings rally.
By mid-morning though things ran out of steam and the markets eased back to close around unchanged levels.
There are still lingering fears that the credit crisis is far from over. Despite world central banks injecting billions into the market to aid liquidity, all the banks seem to be doing is using the money to buy each other and pay off their derivative losses.
The next big question is what happens if & when the money runs out? AIG have sucked up $90 billion of its extended $123 billion lifeline already in a few short weeks, suggesting that they will be back cap in hand for more before we see November out.
Will they and others like them get it? How many more are there? And where is it all going to come from?
We might only be passing the finishing post for the first time with another full circuit to go yet.
Early calls for this afternoons CBOT session: Corn and wheat futures are expected to open steady; soybeans steady to 5 higher.
