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Funds add to corn longs

11/14/2011 @ 5:39pm

-Money managers shed their bearish positions in wheat futures and options in the week ending Nov. 8, while adding to their net long position in corn and live cattle.

The release of the CFTC's weekly report was delayed from Friday until Monday because of the Veterans Day holiday.

Large managed funds, including hedge funds, cut their net short position in wheat traded at the Chicago Board of Trade by 26.4%, to 26,157 contracts in the week ended Nov. 8, according to the Commodity Futures Trading Commission.

The net position is the difference between the number of long contracts, or bets prices will rise, and short contracts, or bets prices will fall.

Meanwhile, money managers increased their net long position in corn by 11.9%, to 218,997 contracts. Money managers in the period added 15,043 long positions while cutting 8,676 short positions.

The action came ahead of a Nov. 9 U.S. Department of Agriculture supply and demand report that many traders expected would be supportive to corn prices. Views after the report, which included minor changes in the supply outlook, were mixed.

Traders were expecting the USDA report to be negative for soybeans, and money managers in the week ending Nov. 8 cut their long positions by 20.8%, to 28,272 contracts.

Money managers also cut their net long position in CME lean hogs by 12.7% to 66,561 contracts.

In CME live cattle futures, money managers grew their net long position by 8.1%.

-By Ian Berry, Dow Jones Newswires; 312-750-4072; ian.berry@dowjones.com

(END) Dow Jones Newswires

November 14, 2011 17:23 ET (22:23 GMT)

DJ CFTC AGRICULTURE: Money Managers Add To CBOT Corn Longs, Cut Wheat Shorts->copyright

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