Corn finishes sharply higher
DES MOINES, Iowa (Agriculture.com)--Contract spreading tamed CME Group gains for the soybean market, while the corn market maintained a strong finish Thursday on rumors of China interested in buying U.S. corn,
The July corn futures settled 18 cents higher at $6.12. The July soybean contract closed 7 1/2 cents higher $14.21. The July wheat futures settled 14 1/4 cents higher at $6.30. The July soymeal futures finished $1.50 per short ton higher at $395.40. The July soyoil futures ended $0.01 lower at $55.59.
In the outside markets, the NYMEX crude oil is $0.39 per barrel lower, the dollar is lower and the Dow Jones Industrials are down 121 points.
Alan Brugler, President of Brugler Marketing and Management LLC, in Omaha, Nebraska, says today's market was driven by and ending of spread trade unwinding and corn export news out of Japan.
There were a lot of May/July corn spreads today and July/Sep yesterday.
"But, more importantly, Japan said Thursday that it will not accept anymore EU or Ukrainian corn for the balance of the old-crop marketing year, due to crop quality. That got folks thinking the U.S. exports could pick up," Brugler says.
Speaking of exports, soybean prices received support from a Chinese purchase of U.S. soybeans Thursday. More exports are expected Friday, Brugler says.
Going forward, the fast U.S. planting pace is taking the weather premium out of the market, he says. "So, the only way the weather takes center stage is if next week's Crop Progress Report shows a number way under what the trade expects," Brugler says.