Grains Trade Lower in the Overnight Session
The US Dollar Weakened, Providing Support for the Grains
In the overnight session the grains traded lower with March corn down 1 cent, January Soybeans down 2 ½ cents and March Chicago wheat down 1 ¼ cents. The U.S Dollar weakened, providing some support for the grains.
Wheat was able to make up most of the ground lost over the last couple trading sessions on fears of colder than normal weather threatening dormant wheat throughout Oklahoma and the Texas Panhandle. The lack of snow cover in those regions has the Winter Wheat crop somewhat vulnerable. The cold weather has provided a few basis opportunities as end users narrow their basis to entice farmers to deliver grain during a colder than normal holiday season.
Egypt purchased 180,000 metric tons of wheat in a tender on Wednesday where no U.S. wheat was offered. Offers only consisted of Russian wheat that was accepted for roughly $192.35 to 194.90 per metric ton FOB.
Yesterday an explosion at a COFCO grain terminal in Argentina killed one employee and left others injured. The cause of the explosion is not known, but the facility involved was shut down. The terminal is in Santa Fe Province on the Parana River.
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