Palm oil spot prices rise: November 16 Asian market review
November 16 Asian palm oil spot market review: spot prices rise
On November 16, the Chicago Board of Trade (CBOT) corn market closed sharply higher, with the benchmark contract settling above $4, mainly because of the sharp plunge in the U.S. dollar exchange rate.
At the close, CBOT corn rose 9.75 cents to 11.75 cents, with the December contract up 11.75 cents at 402.25 cents/bushel; the March contract up 11.75 cents at 417.50 cents/bushel; and the May contract up 11.75 cents at 427.50 cents/bushel.
The corn market moved in the same way as neighboring soybeans. Corn prices surged in overnight trading, continued to strengthen in daytime trading, and soon broke through the overnight high. At midday the March corn contract pulled back somewhat, but in the afternoon it resumed its rise and set a new high before the close.
Although the corn market posted a large gain, corn declined relative to wheat. On November 16, the wheat market became the strongest performer in the agricultural products market.
Analysts said the surge in international crude oil futures, sharp gains in gold and U.S. stocks, and the steep drop in the U.S. dollar exchange rate boosted sentiment in the agricultural products market, including corn.
Traders said the early rise in corn prices triggered stop-loss buying by brokerage houses, which in turn pushed the March contract above last week's high.
Weather forecasts show that around this Wednesday more rain will appear in the western half of the Midwest, which will further delay the corn harvest.
The weekly export inspection data performed poorly. According to the U.S. Department of Agriculture, in the week ending November 12, U.S. corn export inspections totaled 21.9 million bushels, below 27.7 million bushels a week earlier and also below market expectations.
So far this year, total export inspections have reached 16.2% of the USDA's full-year export forecast, compared with a five-year average of 20.6%.
For the remainder of this year, weekly export inspections need to reach 43 million bushels to achieve the USDA's full-year export forecast.
In other news, a CBOT spokeswoman said on November 16 that CBOT will announce adjustments to corn futures contracts this week because of recent market concerns that vomitoxin levels in this year's corn crop are too high. She said vomitoxin levels will be the first standard for corn contracts, even though wheat has long had such vomitoxin.
Analysts said this adjustment means a decline in corn deliveries and may be favorable to corn prices.
On November 16, corn market volume was estimated at 211,934 contracts.
At the close, CBOT corn rose 9.75 cents to 11.75 cents, with the December contract up 11.75 cents at 402.25 cents/bushel; the March contract up 11.75 cents at 417.50 cents/bushel; and the May contract up 11.75 cents at 427.50 cents/bushel.
The corn market moved in the same way as neighboring soybeans. Corn prices surged in overnight trading, continued to strengthen in daytime trading, and soon broke through the overnight high. At midday the March corn contract pulled back somewhat, but in the afternoon it resumed its rise and set a new high before the close.
Although the corn market posted a large gain, corn declined relative to wheat. On November 16, the wheat market became the strongest performer in the agricultural products market.
Analysts said the surge in international crude oil futures, sharp gains in gold and U.S. stocks, and the steep drop in the U.S. dollar exchange rate boosted sentiment in the agricultural products market, including corn.
Traders said the early rise in corn prices triggered stop-loss buying by brokerage houses, which in turn pushed the March contract above last week's high.
Weather forecasts show that around this Wednesday more rain will appear in the western half of the Midwest, which will further delay the corn harvest.
The weekly export inspection data performed poorly. According to the U.S. Department of Agriculture, in the week ending November 12, U.S. corn export inspections totaled 21.9 million bushels, below 27.7 million bushels a week earlier and also below market expectations.
So far this year, total export inspections have reached 16.2% of the USDA's full-year export forecast, compared with a five-year average of 20.6%.
For the remainder of this year, weekly export inspections need to reach 43 million bushels to achieve the USDA's full-year export forecast.
In other news, a CBOT spokeswoman said on November 16 that CBOT will announce adjustments to corn futures contracts this week because of recent market concerns that vomitoxin levels in this year's corn crop are too high. She said vomitoxin levels will be the first standard for corn contracts, even though wheat has long had such vomitoxin.
Analysts said this adjustment means a decline in corn deliveries and may be favorable to corn prices.
On November 16, corn market volume was estimated at 211,934 contracts.