eCBOT Close/Early Call

Grains closed firmer on the overnight eCBOT session, on a technical rebound from Friday's steep losses.

Soybeans closed around 21c firmer, with wheat up around 10c and corn 9c firmer.

China said it would buy at least 3mmt of soybeans on the local market in a bid to support farm prices. The government there announced similar plans for corn last week as slumping prices reduce farming incomes and discourage planting.

The government’s price support plan may spur Chinese crushers to buy beans from the US and other countries, where they are cheaper, analysts said.

Soybeans for May delivery on China's Dalian Exchange gained 1.4 percent to 3,262 yuan a tonne. The futures have tumbled 38 percent from the July 3 record of 5,241 yuan.

Dryness and frost in Argentina is also seen as supportive to all three grains this afternoon.

Firmer oil prices, firmer stocks in Asia and Europe and the rescue plan for Citigroup also improved sentiment in the grains pit Monday morning.

At 12 noon GMT crude was $2.07 firmer at $52/barrel.

VeraSun said on Friday it had stopped receiving and processing corn at certain plants while it seeks additional financing.

The company, which recently filed for Chapter 11 bankruptcy protection, is also said to be trying to wriggle out of existing commitments to purchase high-priced corn.

Early calls for this afternoon's CBOT session: Corn futures are expected to open 5 to 10 higher; soybeans 15 to 20 higher; wheat 7 to 10 higher.