US corn futures closed lower on Thursday as the dollar turned firm and on technical selling including profit-taking after Wednesday's climb to a one-week high. A slowdown in US corn exports adds pressure. CBOT December down 9-1/4 cents at $5.64-1/4 a bushel.
Funds sold 7,000 contracts. Volume over 300,000, below 30-day average of nearly 355,000. USDA's weekly report showed export sales of US corn last week at 212,500 tonnes, below estimates for 400,000 to 600,000. Weekly corn export sales stood at the lowest since June 4, 2004. Traders note rumour that China has committed to buy 1 million tonnes of US corn for delivery in early 2011.
China's Dalian corn futures hit new high on supply concerns. China faces 2010/11 corn deficit of up to 7 million tonnes-JCI. Increasing chance of rain in the US Midwest over the next week will slow record-fast corn harvest. Cash bids for corn rise sharply at river locations around US Midwest early on Thursday. CBOT December oats closed 1/2 cent per bushel higher at $3.55-1/2.
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