CHICAGO, July 26 (Xinhua) -- Chicago Board of Trade (CBOT) grains futures closed higher on Wednesday as traders turn to short-covering after last day' s overdone sell-off.
Traders noted wheat contracts posting the gains as results from a crop tour confirmed that drought in the northern Plains severely crimped harvest potential in that key growing region.
Bargain buying lent support to soybean futures too following a sharp sell-off on Tuesday. Corn closed firmer after earlier falling to July lows.
The most active corn contract for December delivery rose 3.75 cents, or 0.98 percent, to 3.86 dollars per bushel. September wheat delivery added 3.75 cents, or 0.79 percent to 4.7775 dollars per bushel. November soybeans went up 7.5 cents, or 0.76 percent, to 10.0025 dollars per bushel.
In the outside markets, the Brent crude oil market is 0.86 dollar per barrel higher, the U.S. dollar is lower, and the Dow Jones Industrials are 108 points higher.
Brian Rydlund, CHS Hedging market analyst, said that today' s move higher is nothing more than a breather.
Looking out longer term, grain prices could get cheaper if these forecasts roll true with no extreme heat in sight, Rydlund said. Enditem
