Soybeans close up 12¢
DES MOINES, Iowa (Agriculture.com)--China's big purchase of U.S. soybeans helped that market close double-digits higher, pulling up corn and wheat Tuesday.
The March corn futures contract closed 3 1/2 cents higher at $4.61. The May soybean futures contract settled 12 1/4 cents higher at $13.87. May wheat futures closed 1 cent higher at $6.18 per bushel. The May soymeal futures contract ended $5.00 per short ton higher at $453.70. The May soyoil futures finished $0.18 lower at $40.85.
In the outside markets, the NYMEX crude oil is $1.09 per barrel lower, the dollar is lower, and the Dow Jones Industrials are 6 points lower.
Matt Connelly, Futures International LLC floor trader, says corn and soybeans are somewhat overbought, but the hot money flow continues to come into the markets.
"USDA this a.m. reported 560k bns to unknown. I believe this sale is to Indonesia. We cannot continue this export pace, unless maybe last year's crop was understated. We will find that out in March Stocks Report," Connelly says.
Money flows have been active for the last month or so, he says.
"We still need more bean acres, and we need to have good yields. A sub-43.0 national yield with 80 million bean acres continues a very tight scenario with demand unchanged. Corn situation a little looser, but that can change quickly," Connelly says.