Corn, soybeans close lower
DES MOINES, Iowa (Agriculture.com)--It was a lower trading day for the CME Group corn, soybean and wheat markets, as little fresh news kept trade volume low Tuesday.
The March corn futures settled 2 cents lower at $6.42 1/4. The March soybean contract closed 1 cent lower at $12.32. The March wheat futures ended 6 1/4 cents lower at $6.62 1/4. The March soymeal futures finished $2.10 per short ton lower at $325.20. The March soyoil futures closed $0.01 higher at $52.17.
In the outside markets, the NYMEX crude oil is $1.71 per barrel higher, the dollar is lower and the Dow Jones Industrials are up 43 points.
Joe Bedore, FC Stone's CME Group floor manager, says the market is weak because there is just no fresh news. "A higher crude oil market is stopping steeper losses for corn," Bedore says. "Plus, you hear more estimates of Argentina's corn crop at 22.0 mmt. Well, that is above everybody's number. Ethanol stocks are building, we hear. For soybeans, I'm confused. I think there will be an announcement soon that China is buying our soybeans," Bedore says.
Tim Hannagan, PFGBest.com senior grain analyst, describes today's markets as exhausted. "Outside markets are favorable, but grains remain lower as they have exhausted the pre-report rally with a 56 cent rally in corn and 90 cent bean rally the last three weeks with the highs occurring Monday," Hannagan says.
Fund investors await the USDA report results Thursday, before any further commitment to positions, Hannagan says.