Chicago agricultural commodities close lower

January 3, 2015 9:52 am 

CHICAGO, Jan 3 — Chicago Board of Trade agricultural commodities closed lower Friday on fund- and producer-related selling in corn, soybeans and wheat.

The most active corn contract for March delivery fell 1.25 cents, or 0.31 percent, to close at 3.9575 U.S. dollars per bushel. March soybeans dropped 16 cents, or 1.56 percent, to close at 10. 075 dollars per bushel. Wheat for March delivery lost 8.5 cents, or 1.44 percent, to close at 5.8125 dollars per bushel.

All three major agricultural commodities dropped as liquidation pressure on corn, soybeans and wheat fell under the influence of short-term fund selling pressure. Analysts note the volume of trade has been limited and is not yet back to pre-holiday levels.

The U.S. Department of Agriculture (USDA) reported that for the week ending Dec. 25 , the U.S. sold 13 million bushels of wheat, 35.2 million bushels of corn, and 22.4 million bushels of soybeans. A few weeks ago, the U.S. has sold more than 100 million bushels of soybean, that difference has been in decline.

Traders are waiting for a USDA report due on Jan. 12, as it will include final production totals for summer row crops for 2014, also the first quarter use rate for corn, as well as 2015 winter wheat seeding estimates. Analysts say the January report is the most important of the year.

Brazil's agricultural report will be released next Friday with 2015 soybean and corn crop estimates. Some analysts believe that 96 to 98 million metric tons of soybean crop is possible. Adding to the worry is favorable South American weather forecast. (PNA/Xinhua)

LAM/JSD

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