CBOT Closing Comments


August soybeans closed 70 3/4 cents higher at $11.28 1/4 a bushel, and November finished 55 cents higher at $9.71. Larger than expected weekly net export sales for soybeans and soymeal at nearly 955,000 MT and 408,000 MT respectively, plus an additional confirmed sale of almost 2 MMT of soybeans to China set the market on fire from the off. Although the sale was mostly new crop, it did include 120,000 MT of old crop beans. This seems to have got the market thinking, exactly what is China up to attempting to auction off some of it's soybean reserves, whist domestic crushers continue to fill their boots with cheaper US beans. Firmer crude oil and equities and a weak dollar were also supportive.


September corn ended up 11 1/2 cents to $3.32 1/4 a bushel, and December corn ended up 14 1/4 cents at $3.42 1/4. Larger than expected weekly export sales for corn of more than 1.25 MMT were reported by the USDA lending support to futures. Outside markets also helped, with a weak dollar and firmer crude, stocks and metals also adding support. Funds bought an estimated 6,000 contracts on the day, despite US weather remaining non-threatening. Spillover strength from beans also helped futures higher.


September wheat ended 4 3/4 cents higher at $5.16 1/4 a bushel. Spillover strength from corn and beans helped wheat, as too did the firmer outside markets and a weak dollar. Better than expected weekly net export sales of wheat at nearly 575,000 MT didn't do any harm either. Egypt bought a ruck of mostly French wheat today, but at least it passed on Russian tenders and picked up a 55,000 MT cargo of US wheat into the bargain. Japan was also in the market, picking up 144,000 MT of mostly US wheat.