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U.S. agricultural futures close higher

CHICAGO
2023-03-15 04:54

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CHICAGO, March 14 (Xinhua) -- Chicago Board of Trade (CBOT) agricultural futures rose across the board on Tuesday, led by wheat.

The most active corn contract for May delivery rose 7.25 cents, or 1.18 percent, to settle at 6.2075 U.S. dollars per bushel. May wheat soared 11.75 cents, or 1.72 percent, to settle at 6.9625 dollars per bushel. May soybean gained 2.5 cents, or 0.17 percent, to settle at 14.9375 dollars per bushel.

Funds are cashing chips on short wheat which has pushed wheat futures higher. But risk aversion stays elevated as traders wonder what will be the next thing that will break in the world financial system. CBOT values could be choppy into the end of the month.

This is still not a market to chase rallies amid the choppy price action that could prevail into the U.S. central bank meeting next week. Chicago-based research company AgResource advises new sales on rallies.

The U.S. Department of Agriculture (USDA) announced that China purchased 612,000 metric tons of U.S. corn. China is also said to have bought 1.3 to 1.5 million metric tons of corn in early March for summer delivery.

There is uncertainty as to whether the renewed Black Sea Grain Initiative is for 60 or 120 days. The United Nations and Türkiye suggest that talks are ongoing.

Jordan purchased 120,000 metric tons of wheat for August at 309.75 dollar/ton CIF.

It will be much drier for Argentina over the next 5 days with just a few lite localized showers. Any rain that falls is across Central Brazil. There is a chance for soaking rainfall in Argentina in the 7-10 day period, but it is getting late for rain to make much difference across Argentina. The extreme heat is pushing crop maturity.
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