Grain futures in the Chicago Board of Trade (CBOT) dropped on Monday as investors worried the demand is supposed to decrease due to the escalating swine influenza.

Soybean futures for July delivery fell 37 cents to US$9.97 per bushel. July corn lost 5 cents, closing at US$3.8075 a bushel. July wheat was down 23.75 cents, settling on US$5.195 per bushel.

The swine flu crisis is getting worse as the World Health Organization said on Monday that 73 cases of swine flu have been confirmed worldwide, 40 of which are in the US and 26 in its neighbor Mexico, where as many as 149 deaths are thought to have been caused by the virus. Several other countries have reported cases or suspected ones.

Investors are anxious about rampant outbreaks of the fatal virus would reduce pork demand, which means a decrease of grains consumption, although it was emphasized by authorities that swine flu has nothing to do with eating pork as the actual virus is a composite of hog, avian and human components.

Hog futures in the CBOT hit down limit on Monday after China and Russia announced on Sunday bans on pork imports from the US and Mexico.

This week's soybean export inspections were down sharply to just 6.944 million bushels versus 21.747 million bushels last week, putting much pressure on soy futures.

(Xinhua News Agency April 28, 2009)