CHICAGO, July 5 (Xinhua) -- Chicago Board of Trade (CBOT) agricultural futures fell across the board on Tuesday, led by soybean.
The most active corn contract for December delivery fell 29 cents, or 4.77 percent, to settle at 5.785 U.S. dollars per bushel. September wheat lost 39 cents, or 4.61 percent, to settle at 8.07 dollars per bushel. November soybean plunged 79.25 cents, or 5.68 percent, to settle at 13.16 dollars per bushel.
CBOT futures were sharply lower as recession worry prompted fund related selling across all asset classes. The U.S. dollar has reached a new rally high on a flight to safety. The ongoing fear is slow growth and recession, and a future drop in demand.
November soybeans are testing 13.00 dollars, December corn 5.70 dollars and September Chicago wheat 8.00 dollars. Grain fundamentals are bullish, but macro-economic concerns are in the way. Chicago-based research company AgResource holds that a sharp recovery may ensue once recessionary worry highs are scored in the coming days.
The cash grain markets are holding far better as July-September corn spread pushing out to a 1.50-dollar premium for July contract. The cash market is holding on demand amid profitable margins in ethanol, renewable diesel, and biodiesel.
Stats Canada estimated 2022 total wheat acres at 25.4 million acres, up 8.7 percent from 2021.
