Chicago Agriculture Commodities Finished Lower
$SOYB, $CORN, $WEAT
Chicago Board of Trade (CBOT) agriculture grains futures finished lower Thursday with Soybean futures falling to a new one-month low as forecasts for rain in Argentina dampened concerns about dryness hurting production there.
The most active Corn contract for March delivery stayed unchanged at 3.4725 bu.
March Wheat delivery fell 2.5 cents, or 0.63%, to 3.97 bu.
January Soybean dropped 13 cents, or 1.28%, to 10.04 bu.
Rains in dry areas of Argentina, a major exporter, should keep South America on track to produce a bumper Soybean harvest, traders said. Earlier this month, dryness fueled worries about planting problems and boosted futures prices.
Traders have been keeping an eye on weather in South America because the United States competes with Argentina and Brazil for business on the global export market.
Demand for US Soybean has been solid, with the US Department of Agriculture reporting weekly export sales at 1.8-M tonnes. That was above analysts’ expectations for 1.1 to 1.4-M tonnes.
US Corn export sales also topped expectations while Wheat sales just missed analysts’ estimates.
The United States faces stiff competition for Wheat sales from other countries with ample supplies.
Argentina’s agriculture ministry projected the country’s MY 2016/17 Wheat crop at 15.7-M tonnes, up from a prior estimate of 14.9-M tonnes due to bigger-than-expected yields.
For Soybean the ministry estimated farmers will plant 20.3-M hectares in MY 2016/17, up a bit from a prior forecast.
Have a Happy Christmas.