Early Call On Chicago

Posted by Nogger - a legend in his own mind at 14:42 | Categorized as

24/05/11 -- The overnights closed mixed with wheat mostly 5-6c lower, beans 6-8c higher and corn 3-5c lower. Crude oil is the best part of two dollars firmer which should support after Goldman Sachs raised their price outlook on crude.

Goldman did however lower their outlook on corn and soybean prices. A firm dollar may cap gains. Weather is mixed, some are saying conducive for planting advancement. HRW wheat may see some decent rains too.

Planting prospects appear to have improved in Western Australia.

China say that they are in for a record corn and wheat crop this year and India say that they will harvest a record amount of wheat.

Last night's soybean export inspections were a bit slack again for soybeans, hinting at another week of disappointing sales.

Fund money is set to begin rolling out of July longs as month end nears, which may see some erosion of old crop premiums over new crop.

Japan are shopping for 157,000 MT of food wheat and Algeria are looking for 50,000 MT of durum.

Early calls for this afternoon's CBOT session: beans up 6-8c, wheat down 4-6c, corn down 3-5c.