CBOT Closing Comments


July soybeans closed at $12.45 ¾, down 21 ¼ cents, November soybeans at $10.77 ½, down 12 ¼ cents. Profit-taking was a feature ahead of the weekend, and despite the drop July beans still finished 20 ¼ cents higher on the week. Next week’s weather is forecast to bring some much-needed warmer temperatures into the Midwest which should aid rapid progress towards the completion of soybean plantings in the US. Monday will see the release of the May NOPA crush report, with the trade expecting 137.2 million bushels of beans to have been crushed during the month.


July corn closed at $4.26, down 15 cents on the day and 18 cents on the week. Corn planting should now be complete just about everywhere, as farmers switch their attention to getting the remaining beans into the ground. A stronger dollar and weaker crude oil was bearish for corn Friday, and there was also a sense of position closing ahead of the weekend, with funds selling an estimated 9,000 contracts.


July CBOT wheat finished at $5.85 ½, down 9 ¼ cents on the day and 37 ½ lower on the week. The early harvest in the south is throwing up some very poor yields with reports of just 10 bushels/acre coming in from Texas. Yields should improve as harvesting progresses further north, but there still remains a distinct possibility that the USDA's lower winter wheat production figure of 1.492 billion bushels will need to be revised lower still. The bearish thing for wheat this week was that despite reducing production US ending stocks for 2009/10 were revised upwards due to lower usage. Global ending stocks were also raised by almost 1 MMT to 183 MMT.