CBOT grain futures saw a rally on Thursday with soybeans finishing up 30 1/2 cents and corn closing up 13 cents. Lingering crop concerns in South America remain the underlying driving force as the crop continues to deteriorate in Argentina and Brazil and current extended weather forecast call for warmer/drier weather. Export sales out on Thursday showed corn at 47.8 million bushels for the week and soybeans at 12.5 million bushels. Though export demand was not overly bullish for corn it does suggest that corn is at least competitive at current prices. Analyst expectations had been between 30 - 37 million bushels for corn and 17 - 24 million bushels for soybeans. Thursday also saw a modest increase in the U.S. Dollar index, along with slightly higher crude and gold prices. Ethanol margins have began to improve recently and analysts are starting to discuss rising freight rates, which could signal rising commodity demand.
Chris Spurlock
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