CBOT Closing Comments


Corn futures closed higher on strength in crude oil and declines in the dollar. Gains came despite what appeared to be a bearish report on paper. USDA hiked ending stocks by 350 million bushels to 1.474 billion bushels with a 300 MB reduction in ethanol use. Crude oil was sharply higher and traded $3 gains from most of the day lending support to grains. Also lending support was sharp declines in the US Dollar which was off 150 points. Corn exports were impressive to say the least; USDA reported export sales for last week of 1.05 million metric tonnes well above trade estimates of 650,000 to 850,000 MT and marked the first time exports sales peaked above 1 MMT for the current marketing year. Dec +11 at 3.38.


Soybean futures finished 25 to 27 cents higher Thursday. Support came from firmness in crude oil as threats of oil production cuts boosted prices along with a weaker US currency. USDA left ending stocks at 205 MB slightly above trade estimates. USDA also reported striking export sales for last week of 811,900 MT above trade estimates of 550,000 to 750,000 MT. China has reportedly purchased additional 120,000 metric tonnes of US soybeans, as they remain US's top importer or soybeans. Deliveries against Dec meal were a mere one contract and Dec bean oil 493 contracts. Jan +27 at 8.56; Dec Meal +10.40 at 260.80; Dec BO +.87 at 31.46.


Wheat futures closed mixed when the final bell rang on Thursday. Wheat futures did not shoot higher like corn and soybeans as bulls weren't as eager to step into a bearish S&D report like they were in corn and soybeans. USDA increased their ending stocks projections to 623 MB which was above average trade estimates of 595 MB and the Nov projection of 603 MB. Wheat export sales continue to slump, USDA reported 239,300 metric tonnes below trade estimates of 250,000 to 350,000 MT. A sharply lower US Dollar didn't seem to have much bullish impact on the wheat futures as they posted marginal gains and even some losses. Deliveries issued against the Dec CHI contract were 725, Dec KC 118, and Dec MLPS 134. Dec CHI -1 at 4.91; Dec KC +5�at 5.21; Mar MLPS -2 at 5.88.