Pressure remains on grains
CHICAGO, Illinois (Agriculture.com)--At mid-session, the pressure remains on the CME Group grain and soybean markets Monday.
At mid-session, the May corn futures are 14 3/4 cents lower at $7.61 1/4. The May soybean contract is 33 1/2 cents lower at $13.35. The May wheat futures are 33 3/4 cents lower at $7.65. The May soybean meal futures are $6.20 per short ton lower at $343.50.
In the outside markets, the NYMEX crude oil is $3.31 per barrel lower, the dollar is lower and the Dow Jones Industrials are down 124 points.
Profit-taking and the outside markets are applying the pressure on the grain and soybean markets.
Jack Scoville, PRICE Futures Group vice-president, says investors are being told to take profits.
"I think a lot of this is Goldman Sachs telling clients to liquidate positions in commodities," Scoville says.
Crude Oil taking the bigger hit, and in the grains all are down on what seems to be big time spec selling, he says.
"I see negative charts to help the selling pressure along. Some on TV talking about the Saudis cutting production due to lack of demand. Lack of demand for crude implying that maybe the economy is getting to a point of going backwards, maybe. I think not, I think crude just got too high priced and the demand is below, but we will see on that," Scoville says.