Chicago Ends Higher

01/02/12 -- Soybeans: Mar 12 Soybeans closed at USD12.15 1/4, up 16 1/4 cents; Nov 12 Soybeans closed at USD12.18 1/4, up 16 3/4 cents; Mar 12 Soybean Meal closed at USD322.30, up USD3.00; Mar 12 Soybean Oil closed at 51.18, up 31 points. Funds were said to have bought 6,000 soybean contracts on the day. Oil World cropped their estimate for Argentine soybean output by 2 MMT to 46.5 MMT, and also cut Brazil by a similar amount to 70.0 MMT. China bought 120,000 MT of US beans for 2011/12 delivery. There's rain in Argentina with more in the forecast. Estimates for tomorrow's weekly export sales are in the range of 450 to 750 thousand MT.

Corn: Mar 12 Corn closed at USD6.42, up 3 cents; Dec 12 Corn closed at USD5.76 3/4, up 7 1/4 cents. Funds bought an estimated 8,000 corn contracts on the day. Reports suggest that at least 25% of Ukraine's winter crops will have to be replanted in the spring, with some estimates as high as 50%. Whilst some of that area will go into sunflower production the majority will probably be corn. That however is some time off, and the trade is concentrating on matters nearby. Trade estimates for tomorrow’s weekly export sales report range from 700 to 1100 thousand MT.

Wheat: Mar 12 CBOT Wheat closed at USD6.74 1/4, up 8 1/4 cents; Mar 12 KCBT Wheat closed at USD7.22 1/2, up 7 cents; Mar 12 MGEX Wheat closed at USD8.36 3/4, up 9 cents. Funds were said to have covered in a further 4,000 of their Chicago short position. The USDA announced the sale of 120,000 MT of SRW wheat to unknown. Argentina released 2 MMT of wheat for export. Black Sea exports have ground to a halt due to temperatures well below freezing. As well as affecting Russia and Ukraine bitter cold is now seen moving into France, Germany and Poland. Trade estimates for tomorrow's weekly export sales are 500 and 700 thousand MT.