Rangebound Corn Market Ends Higher
DES MOINES, Iowa (Agriculture.com)--On Wednesday, the CME Group corn and wheat markets stayed higher, while soybeans lag behind.
At the close, the Dec. corn futures closed 1/2 of a cent higher at $3.71.
Nov. soybean futures finished 13 3/4 cents lower at $10.81.
Sep. wheat futures ended 7 1/4 cents higher at $5.27.
December soymeal futures settled $5.70 per short ton lower at $348.60. The December soyoil contracts closed $0.14 lower at $36.39.
In the outside markets, the NYMEX Brent crude oil is $0.79 per barrel lower, the dollar is higher and the Dow Jones Industrials are 21 points lower.
Jack Scoville, PRICE Futures Group vice-president, says the market is reading the weather.
"Soybeans are pure weather plus no new demand announcements today. The weather forecasts keep getting better for the first part of August and the market is reacting in a big way."
But, the market is still in a range, he says.
"We will be looking more and more for demand, as we move forward and feel better about the crop. The Doane tour wrapped up and likes the potential for beans, but notes that we need some good weather from here on out. So far the forecasts are cooperating," Scoville says.
Scoville adds, "The market is finding spec selling, I doubt any of my farmers are selling or if they are they are not telling me. Corn seems to have nowhere to go right now, but will probably weaken if the soy stays bad. No real interest either way in corn, the crop should be about made and no real demand news out there so nothing to do."
Wheat seized some demand, Wednesday. And, that could be helping it trade higher.
"But, really, it is the crop in western Europe that should support the market. Russia keeps pushing the prices lower, but the EU crop is too wet and needs some hot and dusty. Nothing like that really showing in the forecasts, either, so maybe wheat can grab here as the demand for higher quality would shift here and to Canada."