April 7. 2008

Grains

Soybeans fell nearly 2-percent on Monday, with the May contract settling 22 cents lower at $12.55 a bushel. The new weather forecasts showing favorable planting conditions in the U.S. Midwest was the primary reason for sending the market lower today. Fears of planting delays sent soybeans 57 cents higher in the past three sessions.

Wheat closed over 5.7-percent lower with the May contract falling 53 cents to settle at $9.21 1/4 a bushel. Profit-taking after a nice rally to end last week, and favorable planting conditions sent the market significantly lower today.

Rice surged limit-up with the May contract settling 50 cents higher at $21 per hundredweight. Export bans, and tight global supplies continues to send rice to fresh record highs.

May corn fell 8 cents to settle at $5.90 a bushel, May soymeal settled $3.50 lower at $329.90 per short ton, and May soyoil settled 64 points lower at 55.97 cents a pound.

Softs

Orange juice futures jumped 5-percent with the may contract settling 5.50 cents higher at $1.1775 a pound. Short covering after the market declined about 30 percent since January, was noted for today's huge rally.

Cocoa settled higher for the third straight session with the July contract gaining $52 to settle at $2,351 a metric ton. Commercials and specs were active buyers today on what some were calling value prices.

May cotton settled 194 points higher at 72.80 cents a pound, May coffee settled 170 points higher at $1.3360 a pound, and May sugar settled 55 points higher at 12.12 cents a pound.

Meats

Pork bellies settled higher for the fourth straight session, with the May contract gaining .95 cents higher at 73.050 cents a pound. Stronger cash prices and speculation that the falling U.S. dollar will spark additional overseas demand added to the bullish sentiment.

The USDA's mid-day boxed-beef wire today reported choice cuts gained .09 cents a pound and select items fell .09 cents.

April lean hogs settled .37 cents higher at 58.52 cents a pound, April live cattle settled .02 cents lower at 87.87 cents a pound, and April feeder cattle settled .40 cents higher at 98.60 cents.

Metals

Gold closed higher for the fourth straight session, with the June contract settling $13.60 higher at $926.80 an ounce. Higher energy prices and expectations for further rate cuts increases demand on precious metals as a hedge against inflation.

Copper climbed near a record high with the May contract settling 3 cents higher at $3.98 a pound. Copper price forecasts from Citigroup, and Goldman Sachs were raised. With Citigroup referring to strong demand from China as a major driver in higher prices.

May silver settled 36.5 cents higher at $18.12 an ounce, July platinum settled $16.40 higher at $2,046.90 an ounce, June palladium settled $12.75 higher at $457.15 an ounce,.

Energy

Crude oil climbed 2.7-percent today, with the May contract settling $2.86 cents higher at $109.90 a barrel. Refinery issues continue to send the energy sector higher, and May RBOB gasoline settled 2.68 cents higher at a record $2.7835 a gallon.

Natural gas surged 5-percent today with the May contract settling 46.9 cents higher at $9.791 per 1,000 cubic feet. Shrinking supplies and colder weather forecasts sent natural gas and heating oil higher. May heating oil rose 9.22 cents to settle at $3.0843 a gallon.