Nogger's Blog

16/11/11 -- Soybeans: Jan 12 Soybeans closed at USD11.87 3/4, down 12 1/2 cents; Mar 12 Soybeans closed at USD11.98, down 12 1/4 cents; Dec 11 Soybean Meal closed at USD296.40, down USD5.00; Dec 11 Soybean Oil closed at 52.48, down 12 points. This was the lowest close for a front month on meal for thirteen months. Meal has been the weakest leg of the three of late due to strong demand for oil from the biodiesel sector. NYMEX crude closed above USD100/barrel for the first time in five months. The market was disappointed that the USDA didn't confirm any of the recently rumoured sales to China. We will see what tomorrows weekly export sales report brings, with trade estimates for that between 500 and 700 thousand MT.

Corn: Dec 11 Corn closed at USD6.42 3/4, down 2 3/4 cents; Mar 12 Corn closed at USD6.52, down 2 3/4 cents. Funds were said to have sold 5,000 lots on the day despite rising crude oil prices. A firm dollar and news of Japan buying a substantial quantity of corn from Ukraine at heavily discounted levels to US origin material weighed on prices. South Korea has also been looking elsewhere for corn this week, in addition to buying feed wheat to partially displace it in the ration. Trade estimates for tomorrow's weekly export sales are between 350 and 600 thousand MT.

Wheat: Dec 11 CBOT Wheat closed at USD6.16 3/4, down 16 cents; Dec 11 KCBT Wheat closed at USD6.87, down 18 cents; Dec 11 MGEX Wheat closed at USD9.33 1/2, up 2 1/4 cents. Minneapolis was again the leader, opening up a gap now well in excess of USD3/bushel between it and Chicago wheat. Funds were said to have been sellers of 3,000 contracts of the latter on the day. Algeria bought up to 500,000 MT of optional origin wheat in a tender today, trade gossip suggests that France may have missed out on an order it would normally expect to get in favour of Argentine wheat. Trade estimates for tomorrow’s weekly export sales report range from 350 to 450 thousand MT.