Chicago | Reuters — Chicago Board of Trade soybean and grain futures firmed on Friday, as traders adjusted their positions before the year-end holidays after a flurry of economic data showed underlying inflation pressures continuing to ease.
Corn futures were steady to slightly lower for much of the session, with ongoing concerns about the closure of rail crossings on the Texas-Mexico border.
Corn, soybean and soymeal futures all ticked higher on news of the U.S. reopening two rail crossings, five days after the key trade routes were closed to redeploy border personnel in response to increased migrant crossings.
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U.S. wheat futures closed higher on Thursday on concerns over the limited availability of supplies for export in Russia, analysts said.
Weakness in the dollar supported grain futures, but wheat prices remain pressured by export competition from large supplies in the Black Sea region.
And CBOT’s most-active soybean contract firmed – after dipping to the lowest price since Dec. 7 – as traders continued to assess rain forecasts in South America.
“At this point, we’re just not seeing a lot of trading from a fundamental perspective,” said Angie Setzer, partner at Consus Ag Consulting.
Weather remains a market concern. Rainfall is forecast across Argentina’s grain belt into early January, which should boost the major producer’s crop ahead of harvest, traders said.
The picture has been less clear in Brazil. Forecasts for heavy showers in parts of Brazil have eased some drought worries, though observers are continuing to lower estimates for the country’s next soybean harvest.
CBOT’s most-active soybean contract Sv1 settled up 4-1/2 cents at $13.06-1/4 a bushel, but the contract finished the week lower.
The most-active contracts for corn and wheat also ended lower for the week. CBOT corn Cv1 settled up 1/2-cent at $4.73 a bushel, while wheat Wv1 closed up 3-3/4 cents at $6.16-1/4 a bushel.
–Additional reporting by Gus Trompiz in Paris and Peter Hobson in Canberra.
