Too much pressure for grains
CHICAGO, Illinois (Agriculture.com)--Long liquidation, unfavorable outside markets and bearish USDA crop estimates pulled the CME Group grain markets down Thursday.
The May corn futures closed 5 3/4 cents lower at $6.96 1/2. The May soybean contract settled 2 1/4 cents lower at $13.29 1/4. The May wheat futures ended 15 3/4 cents lower at $7.82 1/2. The May soymeal futures settled $1.20 per short ton lower at $354.90. The May soyoil futures settled $0.42 lower at $55.28.
In the outside markets, the NYMEX crude oil is $0.85 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 44 points.
A breaking crude oil market and lower Dow helped push the grain prices lower Thursday, analysts say. Plus, the USDA Outlook Conference estimate Thursday of the second largest U.S. corn crop since World War II pressured prices. At the same time, traders were shedding 'long' positions. Yesterday alone, 40,000 corn contracts were liquidated.