(Updates with closing prices)
By Mark Weinraub
CHICAGO Jan 10 Chicago Board of Trade soybean
futures firmed on Tuesday, recovering from weakness in overnight
trading on technical buying amid lingering concerns about
weather in key South American growing regions.
Corn eased as traders staked out positions ahead of the
release of key U.S. Agriculture Department supply and demand
reports on Thursday. Wheat futures closed mostly lower, but the
front-month MGEX spring wheat contract rose to a 1-1/2
Moves in all three commodities were muted as traders were
reluctant to make big bets ahead of the reports.
"I call this noise," said Ag Watch Market Advisors President
Dewey Strickler. "It is an evening of positions going into the
Traders said the weather in Brazil and Argentina remained at
the forefront of the market, particularly after crop shortfalls
from both major exporters in 2016.
"While the weather looks a little better, we need drier
weather in parts of Argentina, and we need more rain in parts of
Brazil," said Greg Grow, director of agribusiness for Archer
Financial Services in Chicago. "Everybody remembers what
happened last year."
CBOT March soybean futures settled up 8-1/2 cents at
$10.13-3/4 a bushel. Some technical buying helped push the
market higher after prices fell below the 100-day moving average
CBOT March soft red winter wheat ended down a 1/2 cent
at $4.26-3/4 a bushel, and CBOT March corn was 1-3/4 cents
lower at $3.58-1/4 a bushel.
MGEX spring wheat peaked at $5.62 a bushel, its highest
since July 21, 2015, before closing 3/4 cent below the session
Improving weather forecasts for winter wheat development
around the globe added pressure to the grains.
"Plains wheat to see showers across dry area this weekend,"
forecaster Commodity Weather Group said in a note to clients.
"Despite colder than normal conditions next 10 days, winterkill
threats in Europe/FSU wheat minimal."
But expectations that the USDA reports will show a sharp
cutback in U.S. winter wheat seedings kept the declines in
(Additional reporting by Naveen Thukral in Singapore and Gus
Trompiz in Paris; Editing by Lisa Von Ahn and Alan Crosby)