Soybeans surge, corn struggles Thursday
Despite news of another purchase of U.S. corn by China, that market ended Thursday's CME Group trading session lower, while soybeans ended the day sharply higher based on stocks USDA showed tighter in its reports on Wednesday.
At the close, December corn futures were 2 1/2 cents lower at $6.38 1/4 per bushel and December wheat was 8 3/4 cents lower at $6.18. November soybeans ended Thursday's trade 17 1/2 cents higher at $12.57 per bushel.
Soybeans traded sharply higher and corn and wheat ended lower on Thursday, though with lingering corn yield reports coming in lower than expected, one trader says the bottom may be in for the corn trade.
Analysts say Wednesday's USDA that showed increasingly tightened soybean stocks provided plenty of bullish support to the bean trade. But, despite a 900,000-ton purchase of U.S. corn by China, the corn trade couldn't shrug off overnight losses. But, that trend could be ending soon.
"Still hearing anecdotal and actual yield reductions and disappointments that is going to help build a floor here," says Scott Shellady, ICAP Energy LLC Derivatives Manager. "Without going out on a limb, I feel as though the lows are in."