TheCropSite.com- news, features, articles and disease information for the crop industry

News

CME: Corn Futures Closed Lower Wednesday

21 November 2013

US - December Corn finished down 3/4 at 417, 2 off the high and 2 up from the low. March Corn closed down 1 at 425 1/4. This was 1 3/4 up from the low and 2 1/2 off the high.

December corn closed down 3/4 of a cent after choppy and mostly lower trade with the close right in the middle of a small 4 cent trading range.

A turn from higher to lower in soybeans and wheat helped to pressure the market somewhat but the market remained relatively quiet. Ideas that production will eventually be adjusted higher and a good start to weather in South America has helped to pressure.

A private forecaster revised global corn production higher by 5 million tonnes to 963 million. South Korea tendered for 210,000 tonnes of corn overnight and bought 121,000 tonnes of US corn and 63,000 tonnes of Black Sea corn for the tender.

The partial sale by the Black Sea may have been a factor to pressure the market overnight as traders expect most tenders to go to the US at this time of the year. Ethanol production for the week ending November 15th averaged 904,000 barrels per day.

This is down 2.5% from last week and up 11.5% from last year. Total Ethanol production for the week was 6.328 million barrels.

Corn used in last week's production is estimated at 94.92 million bushels. Weekly usage needs to average 94.4 million bushels per week to meet this crop year's USDA estimate.

Stocks were 15.083 million barrels, down 0.46% from last week and down 20.3% from last year. Weekly export sales for release in the morning are expected to come in near 850,000 tonnes as compared with 1.202 million last week.

January Rice finished down 0.155 at 15.685, 0.065 off the high and equal to the low.

Soy Futures Closed Lower

January Soybeans finished down 2 1/2 at 1273 3/4, 10 off the high and 3 1/2 up from the low. March Soybeans closed unchanged at 1264 1/4. This was 3 3/4 up from the low and 6 1/2 off the high.

December Soymeal closed down 1.9 at 407.0. This was 1.1 up from the low and 4.0 off the high.

December Soybean Oil finished up 0.33 at 40.32, 0.1 off the high and 0.32 up from the low.

January soybeans closed 2 1/2 cents lower on the session and experienced the lowest close since November 7th and closed 10 cents off of the highs. Meal closed $1.90 but a bounce in oil (Dec up 33) helped to provide some underlying support.

Talk of the oversold condition and a weaker US dollar were factors to support the market early. However, a turn from lower to higher in the dollar, talk of good weather for the developing crop in South America and further weakness in meal helped to pressure.

The turn down in the nearby futures from higher on the day sparked some spread liquidation as well and November 2014 soybeans are trading higher on the day into the mid-session.

Gulf basis bids were down 4 cents this morning to 93 over January and this may have added to the negative tone.

Weekly export sales for release in the morning are expected to come in near 750,000 tonnes as compared with 848,500 last week. Meal sales near 275,000 tonnes from 283,200 tonnes last week.

Wheat Futures Closed Lower

December Wheat finished down 3 at 647 1/4, 7 1/2 off the high and 1 up from the low. March Wheat closed down 3 3/4 at 655 1/2. This was 1 up from the low and 7 1/2 off the high.

December wheat closed 3 cents lower on the session and down 7 1/2 cents from the early highs. was trading down 3/4 of a cent on the session into the mid-day but down 5 1/2 cents from the early peak.

Egypt officials indicated that French wheat prices were too high in the last few tenders and indicated that around 750,000 tonnes of Black Sea wheat was available from local private traders. Private exporters reported the sale of 110,000 tonnes of US soft red winter wheat to Egypt.

December KC wheat closed 3 cents lower and December Minneapolis wheat closed unchanged. Weekly export sales for release in the morning are expected to come in near 425,000 tonnes as compared with 287,900 tonnes last week.

December Oats closed up 5 3/4 at 360 1/4. This was 6 1/4 up from the low and 5 3/4 off the high.


Daily Crop Report - Copyright � 2008 CME. All rights reserved.


TheCropSite News Desk

Our Sponsors

Partners


Seasonal Picks

Country Dance