CBOT Closing Comments


January soybean futures closed at USD10.13, down 4 ¾ cents, January soymeal futures at USD306.80, down 0.20 points, and January soy oil futures at 39.53, down 46 points. Traders look set to continue to even up their positions ahead of the USDA's Tuesday report. Expectations are for a rise in production to 3.337 billion bushels, compared to last months forecast of 3.319 billion bushels. Analysts predict December 1st stocks at 2.411 billion bushels. Informa now peg Brazilian soybean output at a record 66 MMT, with Argentina also weighing in with a record 53 MMT.


March corn futures ended at USD4.23, up 5 ½ cents, and May at USD4.33 ¼, up 5 ¼ cents. The market is repositioning ahead of Tuesday's USDA report where trade estimates list corn production at 12.821 billion bushels, with ending stocks at 1.587 billion bushels. Informa say that corn production in Brazil will come in at 52.7 MMT (51.0 MMT in 2008/09) and Argentina at 15.5 MMT (from 13.5 MMT). The Buenos Aires Grain Exchange peg corn production in Argentina even higher now at 16.5 MMT.


March CBOT wheat futures closed at USD5.68 ½, up 10 ¾ cents, March KCBT wheat futures at USD5.60, up 9 ¾ cents, and March MGEX wheat futures at USD5.75, up 11 ½ cents. Average analyst estimates for total US winter wheat plantings on Tuesday are at 40.501 million acres down from 43.311 million acres a year ago. Average estimates for total US HRW wheat are 30.205 million acres. Bitterly cold temperatures and scanty snow protection suggest possible freeze damage in hard red winter wheat. Areas lacking an insulating blanket of snow will be subjected to 50 hours of cold, temperatures vacillating between 0 F and 20 F. Bare fields in southern Kansas and the Colorado-Nebraska High Plains are susceptible, say Martell Crop Projections.