Chicago agricultural commodities close mixed

Chicago Board of Trade (CBOT) corn extended some losses on Wednesday, while wheat and soybeans settled a little higher on expectations of new demand for U.S. agricultural products.

The most active corn contract for July delivery lost 3.25 cents, or 0.82 percent, to close at 3.93 dollars per bushel. July wheat delivery added 0.25 cents, or 0.05 percent, to settle at 4.5875 dollars per bushel. July soybeans gained 4.25 cents, or 0.38 percent, to close at 11.375 dollars per bushel.

Rains have fallen in the corn fields in the U.S. Midwest and south Plains on Wednesday, and forecast favored wetter and cooler weather in the next 10 days there. Analysts noted that rain continued easing worries about earlier dryness may dent corn progress in these areas, weighing on corn futures lower Wednesday. Corn already declined more than 5.9 percent Tuesday.

The U.S. Energy Information Administration (EIA) said Wednesday that till the week of June 17, U.S. production of corn-based ethanol production was 962,000 barrels per day, which is 5.03 percent lower than previous week's 1,013,000. Analysts noted that these numbers turned bearish in corns as they boosted expectations that less corn will be consumed for ethanol.

However, some analysts noted that corn witnessed some short covering after its Tuesday's big loss, and the short covering has prevented corn from falling further on Wednesday.

There were rumors on the market that some Gulf Arab countries may buy U.S. soybeans in the near future, and analysts noted that these rumors have prompted technical buying of soybeans, supported soybeans on Wednesday. Funds have bought 5,000 contracts of soybeans before midday Wednesday, according to the report of AgResource, the Chicago-based agriculture consultancy. Endit