CHICAGO, Dec. 28 (Xinhua) — Agricultural futures at the Chicago Board of Trade (CBOT) closed with mixed results on Thursday, with corn and soybeans dropping and wheat rising. The most active corn contract for March delivery fell 2.25 cents, or 0.47 percent, to settle at 4.7425 U.S. dollars per bushel. March wheat rose 8.5 cents, or 1.36 percent, to settle at 6.315 dollars per bushel. March soybean lost 8.5 cents, or 0.64 percent, to settle at 13.12 dollars per bushel.
Market analysts attribute the falling corn and soybean prices to modest premium shedding ahead of expected soaking rainfall in Brazil next week, while wheat rose due to Black Sea concerns. Tensions in the Black Sea are escalating following Ukraine’s attack on Russian naval assets earlier this week.
Trade volume is expected to thin further on Friday. Chicago-based research company AgResource advises a strategy of moving along cash sales only on rallies.
The Argentine President Javier Milei has proposed a reform bill that includes maintaining the 15-percent tax on grain exports, but raising taxes on soymeal and soyoil from 31 percent to 33 percent.
U.S. ethanol production for the week ending Dec. 22 exceeded expectations at 325 million gallons, marking a 15 percent increase from the same week a year ago, and the largest since October 2021. Weekly Energy Information Administration (EIA) ethanol production since Sept. 1 is up 217 million gallons or 5 percent year over year.
U.S. commercial crude inventories by Dec. 22 totaled 437 million barrels, down 7 million barrels from the prior week but up 4 percent from late December 2022. Gasoline stocks were 226 million gallons, up 1 percent from the prior week.
Needed soaking rainfall is forecast across the driest areas of northern Brazil beginning Sunday or Monday. Near-term outlooks are trending favorable. Brazilian soybean production estimates will be very wide-ranging ahead of harvest.
