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Chicago agricultural commodities up on short covering

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(Globalpost/GlobalPost)

CHICAGO, July 14 (Xinhua) -- Chicago agricultural commodities rose Monday on short covering amid oversold technical conditions, with wheat leading the rise.

The most active corn contract for December delivery rose 3.5 cents, or 0.91 percent, to close at 3.8825 U.S. dollars per bushel. September wheat gained 11.75 cents, or 2.23 percent, to close at 5. 3775 dollars per bushel. November soybean climbed 11.25 cents, or 1.05 percent, to close at 10.8625 dollars per bushel.

Weekly U.S. export inspections were neutral to slightly bearish. The report showed that U.S. exported 13.9 million bushels of wheat, 4.2 million bushels of soybeans, and 36.5 million bushels of corn last week. All grain exports were under the weekly pace needed to reach the annual forecast of U.S. Department of Agriculture (USDA). U.S. has so far shipped out 1,572 million bushels of soybeans, 97 percent of the 1,620-million-bushel USDA annual forecast.

FOB wheat prices at Black Sea have edged lower and are not showing any response to the intensified conflict between Ukraine and Russia.

U.S. National Oilseed Processors Association will release its June crush report on Tuesday. Market analysts expect the report to show a U.S. soybean crush rate of 121 million bushels to 123 million bushels.

Weather forecast for Central U.S. is favorable with cool, sunny and dry weather slated for the northern half of the Midwest. Showers and storms will persist across South Midwest and Delta for the next 3 to 4 days. A return to warmer temps is expected over the weekend. With weather forecast for Central U.S. being favorable and cash markets weakening amid pending record large supply of U.S. corn and soybeans, market analysts doubt that any bounce can be sustained on the grains market.

http://www.globalpost.com/dispatch/news/xinhua-news-agency/140714/chicago-agricultural-commodities-short-covering