Home / Markets / Markets Analysis / Corn market / Outside pressures slaughter grains

Outside pressures slaughter grains

Jeff Caldwell 10/31/2011 @ 2:38pm Multimedia Editor for Agriculture.com and Successful Farming magazine.

Though they edged back from sharper losses earlier in the day's session, corn, soybean and wheat futures all took a beating in Monday's trade.

December corn futures ended the day 8 cents lower at $6.47 per bushel, while November soybeans were 9 1/2 cents lower at $12.07 1/2 and December wheat was 16 1/4 cents lower at $6.28 1/4, according to Barchart.com.

There was just too much working against the grains Monday for there to be much upside; the U.S. Dollar index was stronger while the world's attention was again drawn to the instability in the European economy. On top of that, brokerage firm MF Global announced Sunday it was seeking bankruptcy protection, another bearish drag for the grains.

So, will the MF Global situation become another market factor the size of the European debt crisis so far? "As far as this being a far reaching problem, we shall see but I expect that there will be some liquidation coming through the pipeline soon as this situation resolves itself," says Derivitaves manager for ICAP Energy LLC and Agriculture.com Market Analyst Scott Shellady.

Chipping into Monday's losses also were a weak day of export demand and actions taken by Japanese officials to moderate devaluation of that nation's currency.

CancelPost Comment
MORE FROM JEFF CALDWELL more +

U.S. Soybean Crop Will Hit Record 46 bu/ac… By: 07/25/2014 @ 2:10pm August is always the make-or-break month for the U.S. soybean crop. As the final days of July tick…

Drought's Assault Continues in… By: 07/24/2014 @ 9:06am Though it hasn't rained in parts of corn and soybean country in a few weeks, the drought has…

Malaysian Airliner Crash in Ukraine Sends… By: 07/17/2014 @ 2:34pm Wheat futures took off Thursday afternoon to close double-digits higher after news that officials…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
Scott Shellady: Options 101