Soybeans close 33¢ lower
DES MOINES, Iowa (Agriculture.com)--An overbought market and favorable planting weather in Brazil have the CME Group soybean market to a sharply lower close Friday.
The Dec. corn futures contract closed 4 1/2 cents lower at $4.22. The Jan. 2014, the most heavily traded soybean futures contract finished 33 cents lower at $12.80. Dec. wheat futures finished 1/4 of a cent lower at $6.44 1/2 per bushel. The Dec. soymeal futures contract ended $14.10 per short ton lower at $410.50. The Dec. soyoil futures closed $0.50 lower at $40.47.
In the outside markets, the NYMEX crude oil is $0.05 per barrel lower, the dollar is lower and the Dow Jones Industrials are 71 points higher.
Mike North, First Capital Ag senior risk advisor, says the soybean market is pulling back after a 17 1/2 cent gain this week.
"However, cooperative planting weather in South America is allowing for further advancement of what will be a record planting. This, in combination with a chart that is technically overbought after the expiration of the November contract has allowed funds to take profits going into what may be the final weekend for soybean harvest. Active U.S. producer selling in combination with lesser than expected weekly export sales is also bringing some weight to the market," North says.
Corn has nearly opposite shorelines, he says.
"Better than expected exports coupled with an already heavy short position have allowed corn to stabilize while harvest continues to progress," North says.