Farm Markets Close Lower Monday
DES MOINES, Iowa -- On Monday, the CME Group’s farm markets closed lower on favorable crop weather, adding bushels to already big crop expectations. Also, the U.S. dollar hit a three-week high, as the Fed Reserve signals an interest rate hike.
At the close, the September corn futures finished 1¢ lower at $3.27½, and December futures finished 1¢ lower at $3.36 per bushel.
September soybean futures ended 3½¢ lower at $10.30¾; November soybean futures closed 8¼¢ lower at $10.05¼.
September wheat futures finished 3¾¢ lower at $4.04.
September soy meal futures closed $0.90 a short ton lower at $331.50. September soy oil futures closed 0.32¢ lower at 33.57¢ per pound.
In the outside markets, the Brent crude oil market is $1.39 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 52 points lower.
Jack Scoville, The PRICE Futures Group’s senior market analyst, says that the soybean market is weaker than expected today.
“Even with sales of 393,000 tons of beans to unknown and strong export inspections, it looks like the higher U.S. dollar and ideas of big crops coming very soon are taking over the market here,” Scoville says.
He adds, “It’s not a real high volume day, but some rolling of contract positions going on before the September deliveries.”
“I feel like we are going after the market’s lows now, and we made new lows in corn. I would think that downside is limited. Wheat is now competitive in world markets, and we should see some action increasing there. I am not selling,” Scoville says.
The U.S. soybeans continue to flow off of the shelves. On Monday, the USDA announced that private exporters reported export sales of 393,000 metric tons of soybeans for delivery to unknown destinations during the 2016/2017 marketing year.
The marketing year for soybeans began September 1.
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