Chicago agricultural commodity futures all traded sharply lower on Wednesday in thin, post- holiday trade, as sluggish demand for the U.S. crops dominated the trade on the day.
The most active corn contract for March delivery fell 11 cents, or 1.56 percent, to close at 6.9325 dollars per bushel. March wheat lost 19.25 cents, or 1.98 percent, to settle at 7.745 dollars per bushel. March soybeans fell 17.25 cents, or 1.2 percent, to close at 14.185 dollars per bushel.
According to Chicago Mercantile Exchange (CME), the corn market traded lower on the day in thin, post-holiday trade. Sluggish export demand and poor ethanol margins continue to keep gains limited in the short term, although many feel that more corn has been used in feed over the last quarter, which could be supportive in a long term.
Chicago wheat futures traded sharply lower into the closing bell and both made a new low for the move on the day. Traders noted that volume was very low with many traders still away on vacation.
Also in wheat market, for the week ending December 20th, export inspections failed to inspire the bull camp after reporting shipments of just 15.1 million bushels, compared with 16.4 million bushels last week. Shipments needed each week to reach this crop year's export estimate are 23.3 million bushels, up from 22.9 last week, according to the U.S. Department of Agriculture (USDA).
March soybeans ended the day with double digit losses despite demand data that was considered positive to price direction. The USDA reported that 115,000 tons of soybeans were sold to China and 108,000 tons were sold to an unknown destination for the 2012-13 marketing year.