Soybeans close up 27¢
KANSAS CITY, Missouri (Agriculture.cm)--The CME Group corn, soybean and wheat markets remain higher Wednesday.
The March futures corn contract closed 10 cents higher at $7.40. The March soybean futures contract finished 27 cents higher at $14.78. March wheat futures finished 10 cents higher at $7.87 per bushel. The March soyoil futures contract finished $0.89 higher at $52.60. The March soymeal futures finished $9.00 per short ton higher at $432.70.
In the outside markets, the NYMEX crude oil is $0.10 per barrel higher, the dollar is lower and the Dow Jones Industrials are 50 points lower.
Jack Scoville, PRICE Futures Group vice president, says today's rally seems to be half chart related and half weather related.
"All the Chinese demand is for next year now from United States. So, that means they (China) are done with us for this year unless the weather stays bad in South America."
Funds and tech types are buying and stops were hit once we took out the highs of last week on the charts for beans and corn, he says.
The South American weather is creating the ability for this to happen with little selling seen, Scoville says.
"Nothing for sale in cash markets keeps basis very strong here in the US. Specs not wanting to sell much on South America and now chart patterns, so up we go!'
There has been a lot of pent-up demand, he says. "Been a pretty active morning, people were waiting for something like this to happen and have been adjusting positions on all sides," Scoville says.