CBOT Early Call

The overnight grains closed mixed with corn around 1-2c higher and wheat and beans 1-2c lower.

The dollar is firmer and crude weaker, both of those are of course negative for the grains sector.

Corn is doing it's best to mount a bullish storyline. Although the USDA's weekly export sales were a tad disappointing, and didn't include any confirmed sales to China. Hot on the heels of that however came the news that China had indeed bought 369,000 MT of US corn under the daily reporting system (where sales in excess of 100,000 MT must be reported immediately). There was also an additional 174,000 MT sold to unknown destinations.

Japan bought 142,000 MT in it's usual Thursday tender, of which 80,000 MT will come from the US. Strategie Grains cut their EU-27 soft wheat production estimate by 1.2 MMT, with lower output now seen in the north and west of Europe, and higher production in the east and south.

Weekly soybean export sales were a tad disappointing, heavy Midwest rains might switch a few unplanted corn acres into soybeans too.

"The top US corn states Iowa, Illinois and Nebraska have received very heavy rain this week over 1.5 inches and in some areas over 2.5 inches. Rainfall has accumulated with recurring showers over the past 2-3 days. Heavy rains will be ending today in the wet corn states. But strong thunderstorms are moving across northern Illinois into Michigan and north Indiana," says Gail Martell of Martell Crop Projections.

Early calls for this afternoon's CBOT session: Corn up 1-2c; Wheat down 1-2c; Beans down 1-3c.