Chicago Close

25/07/11 -- Soybeans: Aug 11 Soybeans closed at USD13.65 1/2, down 14 3/4 cents; Nov 11 Soybeans closed at USD13.72, down 16 1/4 cents; Aug 11 Soybean Meal closed at USD355.80, down USD7.20; Aug 11 Soybean Oil closed at 56.10, down 41 points. The market is nervous ahead of a resolution to the US debt ceiling issue, prompting funds to be net sellers of an estimated 6,000 contracts on the day. Weekend weather was better than forecast, which added to the bearish tone. After the close the USDA reported a fall of two percentage points in soybeans rated good/excellent to 62%, in line with trade expectations.

Corn: Sep 11 Corn closed at USD6.78 3/4, down 11 1/4 cents; Dec 11 Corn closed at USD6.74 1/2, down 11 cents. Funds sold an estimated 10,000 contracts on the day, unimpressed by the lack of progress in talks over the weekend to resolve the US debt issue. A downgrade in Greece's credit rating from Moody's also maybe reminded the market that the European debt crisis hasn't really gone away either. Weekend weather in the Midwest was better than anticipated, adding to the bull's frustration. After the close the USDA reported crop conditions down four points in the good/excellent category to 62%.

Wheat: Sep 11 CBOT Wheat closed at USD6.88 1/2, down 3 3/4 cents; Sep 11 KCBT Wheat closed at USD7.70 1/2, down 9 1/2 cents; Sep 11 MGEX Wheat closed at USD8.30 3/4, down 7 3/4 cents. Wheat fell in line with declines in corn and soybeans on the back of decent weekend rains and a cooler outlook replacing the dreaded "heat dome" for the next few days. Argentina's wheat belt also got a welcome shot of moisture over the weekend. US winter wheat harvesting is 75% done compared with 80% normally and spring wheat crop conditions improved slightly.