Soybeans Jump on Worries that Crop will Continue to be Dry
CHICAGO (AP) _ Soybean futures surged Wednesday on the Chicago Board of Trade amid concern thirsty Midwestern crops would receive no rain over the next few days.
Forecasters disagreed on whether the area will receive much-needed rain over the next week, said analyst Marty Colgan with LFG, a commodities broker in Chicago.
``It’s been a battle of the weathermen,″ he said.
Some fields in Indiana, Illinois and elsewhere have not seen rain for three weeks. That’s bad news because stockpiles could fall to unprecedented levels by the fall harvest, according to some forecasters.
Wheat futures gained in sympathy with corn and soybeans, but also on news Egypt had bought 150,000 tons of wheat in addition to the 300,000 tons Cairo bought Tuesday, Colgan said. Prices have slumped more than $1.40 a bushel since April, and buyers see bargains.
``If you are an end-user, you’d be taking advantage of that situation,″ he said.
August soybeans gained 15 3/4 cents to $7.92 a bushel; September corn rose 2 1/2 cents to $4.09 1/4 a bushel; September wheat added 1 cent to $4.92 a bushel; September oats rose .75 point to $2.28 1/2 a bushel.
Livestock futures prices were mostly higher on the Chicago Mercantile Exchange on higher demand.
August live cattle made a contract high after gaining .58 cent to 67.65 cents a pound; August feeder cattle rose .42 cent to 62.12 cents a pound; live August hogs rose .02 cent to 55.72 a pound, and August frozen pork bellies added the 2-cent limit to 83.40 cents a pound _ resuming a five-day trend of limit up-gains after falling Tuesday.