CME Group soybean prices attract buyers, end higher
CHICAGO, Illinois (Agriculture.com)--The CME Group soybean prices, supported by late-session buying, finished higher, corn and wheat lower Tuesday.
The Dec corn futures closed 1 3/4 cents lower at $4.02 3/4. The Nov. soybean contract settled 5 3/4 cents higher at $10.15 3/4. The Sep. wheat futures ended 12 1/2 cents lower at $6.80 3/4. Dec. soymeal is $2.10 per short ton higher at $289.50, and Dec. soyoil is 53 points higher at $41.70.
In the outside markets, the NYMEX crude oil is $1.16 per barrel higher, the dollar is lower, and the Dow Jones Industrials are down 21 points.
Tim Hannagan, PFGBest.com senior analyst, says light profit-taking is occurring in the grains.
"Recent run-ups have the 'longs' fat with profits a little nervous. But strong demand to start the week with China in for corn and beans with lower crop condition ratings Monday, has a floor under the market. With 47% of the bean crop yet to enter the key pod-setting stage, traders are unwilling to remove too much weather premium, just yet," Hannagan says.
Jason Ward, Northstar Commodity Investment Co., says corn is off the day's low of 5 cents lower.
"In our view the corn setback is healthy and setbacks should be bought toward $3.85-3.90. Higher highs and higher lows is an uptrend and that is what we are seeing."
For soybeans, the low overnight was $9.97, down 12 cents. "$9.90 is now support and setbacks that hold that level are still buying opportunities. China bought another 8.2 million bushels of new crop beans this morning. This is becoming a daily occurrence and should not be overlooked," Ward says.