Chicago agricultural commodities close mixed

Chicago agricultural commodities closed mixed on Thursday with corn and soybeans falling and wheat rising.

The most active corn contract for March delivery dropped 1.75 cents, or 0.47 percent, to close at 3.715 U.S. dollars per bushel. March soybeans fell 2 cents, or 0.21 percent, to close at 9.6825 dollars per bushel. Wheat for March delivery rose 2.5 cents, or 0. 49 percent, to close at 5.0775 dollars per bushel.

Active volume and profit-taking caused corn and soybeans to fall as U.S. weekly export sales were better than expected with the U.S. selling 20 million bushels of wheat, 42.1 million bushels of corn and 32.6 million bushels of soybeans.

Analysts believe corn fell on chart-based long liquidation while wheat traded on either side of unchanged. They also believe that corn and soybeans would likely to continue to fall due to hedge-related selling. This selling will likely increase as the Brazilian soy harvest expands.

Despite the fall of corn and soybeans, global wheat prices appear cheap relative to corn, and analysts predict a more neutral outlook through the next two months. They believe that new crop corn, soybeans and wheat balance sheets strongly suggest that bad weather is needed for a bull market to be established.

The Central U.S. forecast at midday is warmer than expected, as cooler Canadian air will only briefly drop southward into the Plains and Midwest. Low temperatures are expected across the Northern Plains and Midwest next Monday through Thursday, but otherwise mild conditions are expected. Endite