DES MOINES, Iowa (Agriculture.com)--At mid-session, the CME Group soybean market surges higher on South American weather concerns Tuesday.
The March futures corn contract closed 1 cent higher at $7.28. The March soybean futures contract finished 22 cents higher at $14.51. March wheat futures closed 6 cents higher at $8.43 per bushel. The March soyoil futures contract finished $0.75 higher at $52.43. The March soymeal futures finished $7.20 per short ton higher at $421.60.
In the outside markets, the NYMEX crude oil is $0.67 per barrel higher, the dollar is higher and the Dow Jones Industrials are 36 points higher.
Jack Scoville, PRICE Futures Group vice president, says the soybeans ran higher on less-than-expected rains in Argentina over the weekend.
"Plus, little rain is in the forecast. There is increasing talk about losses there, and I think they are happening. Argentina's corn is dry too, but corn does not seem to want to go higher," Scoville says.
Spec-buying was occurring in soybeans, along with some Brazil farmer-selling on the rally, he says.
"Today's market had some spec profit-taking but the big boys seem to want to own it," Scoville says.
There should be reason to think of losses in the U.S. wheat crop, as there is no real precipitation in the forecast for the Plains, he says. "The rest of the world is also with some problems, i.e. Argentina's low quality and less production. Russia's wheat crop may be too cold."
The corn market is between two extremes, with little news either way to move prices, he says.
Should be doing better but so far not.
Tuesday's USDA Export Inspections were good in all markets, especially soybeans.
