Chicago Closing Comments

19/09/11 -- Soybeans: Nov soybeans ended down 19 1/2c at USD13.36/bushel; Dec soymeal closed down USD4.60 at USD348.50; Dec soyoil dropped 102 points to 55.84. Soybean values dropped to their lowest levels in five weeks on risk aversion. Weak crude oil and a stronger US dollar are the result of global economic concerns. After the close the USDA pegged 53% of the crop rated good/excellent, down three points on last week. They also put 33% of the crop as dropping leaves, down from 47% on the five year average.

Corn: Dec corn ended up 1/4c to USD6.92 1/4; Mar corn closed down 1/2c at USD7.05. Corn was 15 cents or so lower early doors but reports that China may be in the market to buy 5 MMT saw values return to around unchanged levels by the close of play. The C word always gets the market excited, although 5 million tonnes is a relatively insignificant amount compared to the 855 MMT that the world produces. In addition, IF they are in the market then they are much more likely to buy from Argentina. Corn good/excellent conditions fell two points to 51% after the close.

Wheat: CBOT Dec wheat ends down 15 1/4c at USD6.73; KCBT Dec wheat ends down 16c to USD7.68; MGEX wheat closed down 14 1/2c to USD8.41 3/4. Funds were said to have sold 3,000 CBOT contracts on the day as outside markets conspire to drive grains lower. The USDA said that 14% of the US winter wheat crop is now in the ground, Oklahoma and Texas notably lag. The spring wheat harvest is 93% complete, one point above average, they add.