Market News
Soybeans rally at the close: July 31, 2009
After wavering from the day’s highs, soybeans rallied in the last 10 minutes of trade, closing higher. China bought big on Thursday, taking 1.9 million metric tons of soybeans, which resulting in significant gains during that session. DTN says the market will have two technical hurdles to overcome next week, near $9.87 and $9.96 respectively. With underlying fundamentals getting more bullish, it might happen.
Corn closed higher Friday on follow-through buying from Thursday’s sharply higher session along with Friday’s stronger Dow and crude oil market. Corn futures were also higher on the week. Lower corn prices lately along with increasing ethanol production may be boosting corn demand. DTN says that greater demand triggered commercial support through the week.
The wheat market remains bearish because of plentiful global supplies, slow exports and other bearish information with each USDA report. However, the futures closed higher Friday, helped by weakness in the dollar. More bearish news came this week from the North Dakota spring wheat crop tour, reporting the projected yield to be increasing almost 9 bushels to the acre over last year’s yields. Some are calling for the best crop they have ever seen. However, DTN says it’s possible the seasonal low has been put in, looking at recent market action.
For the week, September soybeans gained 92 1/2 cents, and November soybeans gained 67 cents. September corn gained 23 1/4 cents, and December corn gained 22 1/4 cents. September Chicago wheat gained 12 cents, September Kansas City wheat gained 10 1/4 cents and September Minneapolis wheat gained 13 1/2 cents.
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