CBOT corn ends mostly up; crop conditions stable

11 Aug, 2004

Chicago Board of Trade corn futures settled mostly higher on Monday on supportive weekly US corn export inspections, slipover support from gains in neighbouring soyabeans, and US weather worries, brokers said.
CBOT corn futures ended up 1-1/4 cents to down 1/2 cent per bushel, with September up 1-1/4 cents at $2.27 and December up 1-1/4 cents at $2.38. Commodity funds ended the session nearly even, brokers said.
Man Financial sold about 1,500 December, while commercials were net sellers, with Term Commodities selling 1,500 December. Man Financial also bought 2,000 December $2.10 put options, brokers said.
Weekend US corn export sales business was quiet, but light support stemmed from better-than-expected US weekly corn export inspections data, brokers noted.
The US Department of Agriculture reported on Monday that weekly US corn export inspections for the week ended August 5 totalled 36.275 million bushels, above traders' estimates for 30 million to 33 million bushels.
Cooler-than-desired temperatures across the US Midwest were also causing some concerns about "finishing" the corn crop, a supportive factor for CBOT corn, CBOT brokers noted.
But many CBOT traders said the cool temperatures were more of a problem for later-planted US soyabeans, which are in their key pod-setting and pod-filling stage of development.
The US corn crop has already gone through its key pollination stage of development, they noted.
After the CBOT close, the USDA reported the US corn crop's condition had stabilised, with 76 percent in good to excellent condition, equal to last week's rating. Forty-two percent of the crop was douching while 14 percent was dented, the USDA said.
Light support also stemmed from gains in CBOT soyabeans, which settled on Monday up 6-3/4 cents to 10 cents per bushel on worries about the cooler US forecasts, brokers said.
US Midwest cash corn basis bids were firm late on Monday, while Gulf CIF basis bids weakened, dealers said.
On Friday's CFTC commitments data showed commodity funds had moved to a nearly square position in CBOT corn futures in the week ended on Tuesday, August 3: long 109,528 contracts, down 11,658, and short 107,392, up 1,849 from the prior week.
On Monday's estimated CBOT volume for corn futures was 71,444 contracts, compared with Friday's trade of 92,405 lots. Options volume was seen at 20,788 lots. CBOT oat futures settled up 1 cent to 1-1/4 cents per bushel, with September up 1 cent at $1.33 and December up 1-1/4 cents at $1.41-1/2 per bushel.
After the CBOT close, the USDA reported the US oat crop was 45 percent harvested, behind the five-year average of 57 percent. The crop was 63 percent in good to excellent condition, a slight deterioration from last week's 65 percent in that shape, the USDA said.
On Monday's estimated CBOT volume for oat futures was 1,004 contracts, compared with Friday's trade of 1,551 lots. Options volume was seen at 69 lots.

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