CBOT Closing Comments


July soybeans closed at USD9.63 1/4, up 2 1/4 cents; July soybean meal at USD288.90, down USD0.50; July soybean oil is at 38.05, up 13 points. Support came from firmer crude oil and news that China would allow the yuan to appreciate against the dollar, theoretically enabling them to import even more US soybeans than before. The USDA also confirmed the sale of 120,000 MT of US soybeans to China overnight. Wet weather in the US means that soybean plantings advanced only 2% for the week, to 93% done. Crop conditions also fell with good/excellent losing 4% from last week.


July corn closed at USD3.55, down 5 3/4 cents; Dec corn ended at USD3.74 3/4, down 5 3/4 cents. Today's USDA export inspections for corn were disappointing at only 24.488 million bushels. After the close, USDA reported a drop in crop condition ratings of two points, with 65% rated good/excellent vs 67% last week. News that China would abolish it's system of maintaining a fixed yuan/dollar exchange rate was seen as friendly for commodities in general.


July CBOT wheat closed at USD4.62, up 1/4 cents; July KCBT wheat at USD4.77 1/4, down 3/4 cents; July MGEX wheat at USD5.40 1/4, up 2 cents. US export inspections last week were a disappointing 11.46 million bushels. After the close, USDA reported winter wheat harvest is still well behind the normal pace. Only 17% has been harvested, vs. the 5-year average of 23%. Winter wheat conditions fell a point to 65% good/excellent. Spring wheat was rated 84% rated good/excellent, down 2 points from last week. Wet weather in the Canadian Prairies remains a concern.