U.S. agricultural futures close mixed

On December 14th, the agricultural futures at the Chicago Board of Trade (CBOT) concluded with mixed results. Corn experienced a slight decrease while wheat and soybean prices saw an increase.

The most active corn contract for March delivery dropped 0.25 cents, equivalent to 0.05 percent, settling at 4.7925 U.S. dollars per bushel. Meanwhile, March wheat rose by 10.5 cents, or 1.73 percent, reaching a settlement at 6.1575 dollars per bushel. January soybean also gained 6.5 cents, or 0.5 percent, bringing the settlement to 13.14 dollars per bushel.

With a sharp decline in the U.S. dollar, corn, soybean, and wheat experienced fresh fund inflows. In recent weeks, it has not been advantageous to sell sharp breaks or buy sharp CBOT rallies. AgResource, a Chicago-based research company, suggests keeping an eye on macro-economic trends for long-term commodity price direction.

It was reported that the U.S. Department of Agriculture made the sale of 400,000 metric tons of U.S. soybeans to an unknown destination in the 2023-2024 crop year, with China likely being the buyer.

For the week ending on December 7th, the United States sold 54.8 million bushels of wheat, 55.8 million bushels of corn, and 39.8 million bushels of soybeans. Additionally, China has secured 2.2 million metric tons of wheat thus far in the 2023-2024 crop year.

From the start of the respective crop years, the United States has sold 534 million bushels of wheat, showing an increase of 3 percent compared to the previous year. Likewise, 1,069 million bushels of corn have been sold, a 36 percent increase, and 1,226 million bushels of soybeans, a decrease of 20 percent.

As for the seven-day weather forecast, Northern and Central Brazil are expected to be dry. On the other hand, rainfall in Argentina and Southern Brazil is predicted to be near to above normal, which is favorable for yield. Notably, Argentine planting is accelerating as soaking rain puts an end to a two-year drought.