From the floor October 29
At the close:
The Dec corn futures ended 3 cents higher at $5.82. The Jan. soybean contract settled steady at $12.36. The Dec. wheat futures closed 1 cent lower at $7.17 1/4. The Dec. soymeal futures contract closed $1.40 higher at $337.70 per short ton. The Dec. soyoil futures contract ended $0.40 lower at $49.30.
In the outside markets, the NYMEX crude oil is $0.77 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 15 points.
The Dec corn futures are 3/4 of a cent higher at $5.79 3/4. The Jan. soybean contract is 4 1/4 cents lower at $12.31 3/4. The Dec. wheat futures are 2 1/2 cents higher at $7.21. The Dec. soymeal futures contract is $0.10 higher at $336.40 per short ton. The Dec. soyoil futures contract is $0.40 lower at $49.30.
In the outside markets, the NYMEX crude oil is $1.34 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 10 points.
One analyst says, "I think the markets were under some selling pressure last night and early today, due mostly to end of the month selling and some concerns about demand weakening at this time. Also, for soybeans, weather is getting better in Brazil. For corn, not much news out there today. Wheat is still in a weather market but is also seeing some end-of-the-month selling. The wheat strength is taking corn along for the ride a little bit. Soybeans did not see much export news today so it is feeling more selling pressure and also seeing pressure in oil due to weaker energies. Also, more than expected deliveries I think. Rice down hard on the deliveries and lack of buying interest. Blew out some stops at 1481 Jan and below. So, mostly spec selling today, a mix of spec and end user buying for corn. Specs both sides in wheat, and specs mostly selling in the beans," he says.
Markets are chopping around Friday. One analyst says, "The markets started lower off of month-end profit-taking by large trading funds. "But, like each drop this week, and there were three lower opening days, funds and specs, come right back in buying. No one wants to sell short prior the Nov. 9 USDA Crop Report. So, breaks all week were buying opportunities, yet month-end had rallies sold all week," he says.
He adds, "Don't expect higher closes for corn or beans as rains over the week in Brazil look to bring lower prices in Sunday night and Monday's trade. Buying will re-enter Tuesday on pre report positioning."
Meanwhile, for Friday's trade, wheat led the short covering off the low on concerns over a 10-day forecast for dry U.S. wheat states, he says. "Plus, the Business Week publication issued a bullish wheat report today on top of a week of friendly wheat news."
At the open:
The Dec corn futures are 4 1/4 cents lower at $5.75. The Nov. soybean contract opened 4 1/2 cents lower at $12.20 1/2. The Dec. wheat futures opened unchanged at $7.18. The Dec. soymeal futures contract opened $1.00 lower at $335.30 per short ton. The Dec. soyoil futures contract opened $0.53 lower at $49.17.
In the outside markets, the NYMEX crude oil is $0.38 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 3 points.
Also, today is the first notice day for CBOT November soybean futures. There were about 500 contracts delivered, less than expected. One trader says it's a non-event.
Early calls: Corn down 3-5 cents, soybeans down 6-8 cents, and wheat down1-2 cents.
Overnight grain=Trading lower.
Crude oil=Trading $0.44 per barrel lower.
Wall Street=Seen lower as investors await the release of the Gross National Product data. Also, because this has been a strong market this month, profit-taking is occurring.
Re: From the floor October 29
A floor trader told me he thinks it's a company that didn't get the memo that it's country is in need of corn. If not that, he sees it as gamesmanship on the part of the Chinese. The market is more focused on next week's private yield estimates, he says. The first ones will be out Monday.