CBOT Closing Comments

Posted by Nogger - a legend in his own mind at 20:36 | Categorized as

23/02/11 -- Soybeans: beans rebounded from yesterday's steep losses, closing with gains of around 20-24c. Meal was up USD5-6 and oil rose 100-110 points. The market seems to believe that maybe we were presented with a buying opportunity yesterday. The Libyan situation will however continue to keep participants extremely nervous. Soybean open interest fell by more than 11,000 contracts yesterday as nerves got the better of some.

Corn: Corn rose around 10-12c after buyers returned following a reduction in open interest of almost 16,000 contracts yesterday. Crude was sharply higher again as oil companies shut down Libyan facilities, tightening availability. The USDA's Outlook Forum starts tomorrow where we should get some initial ballpark ideas on spring plantings.

Wheat: CBOT wheat rose a couple of cents or so on old crop, but was up more like 8-12c going forward. KCBT futures rose 6-8c with MGEX wheat up generally 2-3c. CBOT open interest fell by almost 14,000 lots yesterday. Modest support today came from news that the US had shared a 235,000 MT wheat tender with Egypt and that Saudi Arabia and Tunisia are also back in the market.