Chicago Agriculture Commodities Finished Lower
$CORN, $WEAT, $SOYB
Chicago Board of Trade (CBOT) grains futures closed lower Thursday, as a widely watched crop tour reported bumper prospects across the US Midwest.
The most active Corn contract for December delivery was down 4.25 cents, or 1.26% to 3.32 bu.
December Wheat delivery fell 2.25 cents, or 0.53%, to 4.2375 bu.
November Soybean fell 29.75 cents, or 2.96%, to 9.755 bu.
The annual 4-day Pro Farmer Midwest Crop Tour observed Thursday that Soybean crop prospects in southern Minnesota were above average, and in line with last year. Soybean potential in eastern Iowa looked on par with recent years.
Late Wednesday, the tour reported above-average Soybean pod counts in Illinois and the western portion of Iowa.
Soybean are trading at a price about 3X greater than Corn, higher than the traditional ratio that is a Key pricing benchmark, agriculture grain traders said. Domestic and export demand for Soybean may fall short of US Department of Agriculture (USDA) projections, and yields look to be growing.
Soybean prices had been pushed higher because of Chinese demand for US shipments, but the supply picture is very favorable.
The International Grains Council Thursday raised its forecasts for world Corn and Wheat production in MY 2016-17 to record highs. a glut.
Export demand limited Corn’s losses. USDA reported weekly export sales of 71,100 tonnes of old-crop Corn, below trade expectations, and 1,059,900 tonnes of new-crop Corn, above expectations.