Corn closes higher
CHICAGO, Illinois (Agriculture.com)--Corn closed higher, while CME Group wheat and soybeans ended lower Tuesday.
At mid-session, the May corn futures closed 6 1/2 cents higher at $7.66 3/4. The May soybean contract settled 10 1/4 cents lower at $13.73 1/4. The May wheat futures ended 3 3/4 cents lower at $7.85. The May soybean meal futures closed $3.40 per short ton lower at $355.36. The July soyoil futures settled $0.30 lower at $58.85.
In the outside markets, the NYMEX crude oil is $0.20 per barrel lower, the dollar is lower and the Dow Jones Industrials are up 30 points.
The outside markets are mixed for commodity support. The corn market is gaining strength from uncertain April planting weather and demand strength. Overall, the grain and soybean markets are trading weaker, traders say.
Jack Scoville, PRICE Futures Group vice-president, says the markets have been dealing with profit-taking.
"I did some (profit-taking) myself for some clients. But the markets are holding pretty strong, or at least the grains are," he says.
Wheat is a weather market for now and the weather in the southwestern Great Plains stays bad, so wheat is finding support, he says.
"Corn spreads are working for the bulls and this is basically still the USDA Reports. Even so, I would have thought today could be a down day. Weather is better and yield reports are good in South America. Plus, there is still some talk of Chinese cancelations to hurt the bean complex today, he says."
Tim Hannagan, PFGBest.com senior grain analyst, says the market is eyeing a colder/wetter weather pattern for the first days of corn planting. "WX RISK.com, the weather site, sees the 6 to 10 day outlook as very wet in the Midwest, with the eastern Corn Belt of Illinois, Indiana and Ohio receiving up to 2 inches of rain and 70% coverage." The western Corn Belt of Iowa and Nebraska is expected to receive 60% coverage, up to 1.5 inches of rain, he says.