Corn and soybeans closed slightly higher, while wheat finished lower. It was a somewhat volatile trade considering that the overnight markets were all lower. Outside markets carried the negative bias into today with crude oil trading lower and the US dollar sharply higher (above $80). Export sales this morning were not exciting. Corn slightly positive; old crop beans lower than expected; wheat/oil/meal was neutral.
Soymeal/soyoil spreads were active again today. Soyoil selling was linked to the sharply lower palmoil prices and concern about the US biodiesel blend credit. The credit was not included in the recently passed jobs bill. The news we have now is that the credit is supposed to be included in the second Jobs bill, but that may not be passed until late April or May and it is meeting some opposition in Congress.
The chart below is of December 2010 corn. Price action leading up to the March 31st planting report will be interesting since the price appears to be at some key trendlines.
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