Farm markets close mixed
CHICAGO, Illinois (Agriculture.com)--As the month comes to a close, funds have started to take profits keeping the CME Group corn and soybean markets from gaining any traction Thursday.
The Dec. corn futures ended 1/2 of a cent higher at $7.43 1/2. The Nov. soybean contract closed 3/4 of a cent lower at $13.92 3/4. The Dec. wheat futures closed 10 1/2 cents higher at $7.87 3/4. The Dec. soyoil futures closed $0.20 lower at $56.13. The Dec. soymeal futures closed $1.00 per short ton higher at $375.20.
In the outside markets, the NYMEX crude oil is $0.04 per barrel lower, the dollar is higher and the Dow Jones Industrials are down 156 points.
Warren Buffet is pumping $5 billion into Bank of America and that is sending the stocks lower. Meanwhile, profit-taking is hurting the grains and soybeans Thursday.
Jack Scoville, PRICE Futures Group vice-president, says, the market looked ready to fall out of bed but held, with wheat leading the way back.
"I am sure this week's crop tour and its less than stellar results is helping. I think the news that southern Minnesota crops are not that good is a little surprising to me. I thought that area had been better. But the buy side is really backing away, at least in cash markets. They just don’t want to pay these prices," he says.
People are buying the wheat, as it is cheap to corn, Scoville says. "Plus, you still have lots of weather issues for the wheat out there in Texas and Oklahoma. I see no real news and have not heard that much except that some advisory services apparently have been telling farmers to let go of a little corn up here."
Overall, it is a pretty low volume day. "There is no reason to push the market big either way, and no real reason to push it down yet, even though one might be developing. I think maybe we are hearing the worst on the supply side for now with the tour. And if we look at demand after today, maybe we see more softness."