Chicago Agriculture Commodities Finished Higher
$CORN, $WEAT, $SOYB
Chicago Board of Trade (CBOT) agriculture grains futures finished higher Wednesday with Soybean futures prices closing double-digits higher, on damaging crop-weather in Argentina.
Corn futures also rose to extend their 3-session winning streak as investors staked out positions ahead of annual re-balancing by commodity index funds. Wheat firmed on support from worsening crop conditions.
The most active Corn contract for March delivery rose 4 cents, or 1.12%, to 3.5975 bu.
March Wheat delivery added 12 cents, or 2.95%, to 4.185 bu.
January Soybean rose 20.25 cents, or 0.9%, to 2.04 bu.
An easing USD, after Tuesday’s 14-year high, lent additional support as it makes US commodities cheaper for overseas buyers.
Speculators stepped in to pull Soybeans higher despite expectations of huge crops in Key exporters Brazil and Argentina.
Crop ratings fell in December in parts of the US Plains that endured a cold and dry month, including major hard Red Wheat growing states Oklahoma and Kansas, data released by the US Department of Agriculture (USDA) after Tuesday’s market close showed.
Concerns about another cold snap in Key growing areas were allayed by forecasts for snow, limiting the gains in the Wheat market.
Corn found support at the turn of the year from expectations that funds will re-balance portfolios in favor of the cereal grain.
The USD is sharply lower and looking like a Top is possible in here, that is lifted all commodities to some extent Wednesday.
There is the South American weather with floods in Argentina and the dry weather in northern Brazil. That could mean much less from both countries, both Corn and Soybean.