Weak Dollar, colder outlook helps grains rally 9/22/09

Published on: 17:44PM Sep 22, 2009
Dec 09 Corn
325 ½   
+ 9 ½  
Nov 09 Beans
922 ½  
+ 9  
Dec 09 Wheat
- 1
Dec 09 KC Wheat
- 1
Dec 09 Min Wheat
490 ½    
- 2 ¾   
Dec 09 Meal
+ 1.7
Dec 09 Oil
+ 0.66

Corn and soybeans closed higher and wheat closed slightly lower. Corn remained higher throughout the day and pulled soybeans and wheat higher late in the day. Sharply higher energy prices, fresh lows in the U.S. dollar and a colder weather outlook for early next week all helped prices rally. The latest GFS weather model indicates a frost chance for the northern belt early next week. This would be around Sept. 30th. This would be at or later than normal for most of these areas. However, with crop maturity lagging this is keeping the markets nervous. A frost could certainly hurt some of the areas in the northern belt, but the actual damage will likely be minimal at this point. For those of you who need to get caught up on sales ahead of harvest, I would use this recent rally in corn to start catching up.   It should be hard for corn and soybeans to maintain large rallies especially over the next 30 days. If you have storage, I still like... Even if prices have put in a bottom (I don’t think they have), the market may have a very difficult time rallying from here. So, trying to make some sales on these 3-4 day rallies will keep you from feeling like you have to make sales on the large breaks. 
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