U.S. soybean and wheat futures rose Thursday, buoyed by a stronger stock market, higher energy prices and increased demand hopes for some U.S. crops. Corn slipped.
Crude-oil prices surged Thursday, posting their biggest gains in nearly three months.
Meanwhile, speculation that adverse weather conditions in South America are negatively affecting soybean production there also boosted prices for the crop.
“The beans sold off pretty good yesterday,” said Doug Bergman, an analyst with investment firm RCM Asset Management in Chicago, adding that prices may have hit a level “that allowed [the market] to bounce and strength in the equity market helped prop it up today too.”
Soybean futures for March rose 4 1/2 cents, or 0.5%, to $8.78 1/2 a bushel at the Chicago Board of Trade.
Wheat futures also climbed, pushed higher by recovering financial markets and fresh signs of world demand. Egypt, the world’s largest wheat buyer, announced an international tender on Wednesday, and though U.S. wheat is still overpriced on the world market, analysts said evidence of global demand still helped lift prices.
CBOT March wheat futures gained 3 1/2 cents, or 0.7%, to $4.75 a bushel.
Corn prices closed lower after notching a fresh one-month high as U.S. farmers began marketing their crops to take advantage of the recent rally in grain prices. The corn market had settled higher for six consecutive days, and analysts said growers with heaps of corn in storage took the opportunity to sell their grain supplies, depressing prices.
Prices also slipped following a report by the federal government that showed ethanol producers in the week ended Jan. 15 reduced output of the biofuel, while stockpiles of corn-based ethanol grew 2.8% last week.
CBOT March corn shed 1 3/4 cents, or 0.5%, to $3.67 a bushel, after earlier hitting $3.72 a bushel, the highest intraday price since Dec. 22.
(By – Dow Jones & Company, Inc, source – http://www.nasdaq.com/article/us-soybeans-wheat-rise-as-markets-rebound-corn-falls-20160121-00876#ixzz3xxue9aPA)