CBOT Closing Comments


July soybeans settled 16 cents higher at $11.46 1/2 a bushel. Higher crude oil, a steady stock market and weak dollar supported beans. Warmer and much dryer conditions have begun across Missouri, Illinois and Indiana. The next ten days will continue to see this new dry trend, says Allen Motew of QT Weather. This may scupper trade ideas that an extra million acres intended for corn will get switched into beans. Temperatures reach 20-24 degrees above normal over the Central High Plains today and tomorrow with the “heat” moderating and spreading eastward into the Corn Belt on Tuesday, he says. This should enable US farmers to wrap up much of their corn planting and get cracking with soybean seedings. As of Sunday night 25% of the soybean crop was planted, according to the USDA, still lagging well behind the five year average of 44%.


July corn ended up 4 1/4 cents at $4.21 1/2 per bushel. As with soybeans, a weak dollar and firm crude oil and equities supported corn. US corn planting was 62% complete as of Sunday night the USDA said after the close, still well behind the five year average of 85%. Warm and dry conditions across the Midwest will finally enable US farmers to get most of their remaining corn into the ground this week.


CBOT July wheat ended up 13 cents at $5.90 1/2 a bushel. 48% of the winter wheat crop was rated good/excellent condition according to the USDA, that's two points up on last week. Spring wheat plantings continue to lag at 50% complete compared to 90% normally at this time of year. The major US-producing state of North Dakota has just 31% of the crop in the ground, compared to 87% normally.Egypt has reportedly impounded more Russian wheat on quality grounds, which may provide a window of opportunity for higher grade US or European wheat. Firmer crude and equities were supportive for US wheat, as was a weak dollar.