CHICAGO, Dec. 16 (Xinhua) -- Chicago Board of Trade (CBOT) grains futures closed lower over the trading week which ended on Dec. 15, due to ample inventories and improving weather predictions in South America.
For the week, the most active corn contract for March delivery fell 5.25 U.S. cents, or 1.49 percent, to 3.475 dollars per bushel. March wheat delivery edged down 0.75 cent, or 0.18 percent, to 4.1825 dollars per bushel, while January soybeans plunged 22.5 cents, or 2.27 percent, to 9.6725 dollars per bushel over the week.
All the three CBOT commodities experienced a second consecutive bearish week.
The U.S. Department of Agriculture (USDA) released its monthly world agricultural supply and demand estimates report early this week.
According to the newly adjusted estimates, 2017/18 U.S. wheat end stocks were increased by 25 million bushels to 960 million, while the world wheat end stocks were forecast to rise 1 million metric tons to a record 268.4 million metric tons.
The U.S. soybean end stocks were raised 20 million bushels to 445 million bushels, while world soybean end stocks were estimated to rise to a record 98.3 million metric tons.
Although the USDA raised ethanol demand in corn by 50 million bushels, the increase failed to sufficiently support CBOT corn futures.
Weather forecasts for South America predicted a wetter pattern shift in Argentina in the second half of December, and rain showers are indeed coming to relieve the dryness in the corn and soybean belts.
Traders believe that rainfall will prevent steep yield losses on early planted corn there, bringing extra pressure on CBOT corn futures.
CBOT soybeans suffered more than two percent losses this week over the weather pattern shift in South America and low U.S. export sales.
Rains over the next two weeks will be key for finishing up planting, but the entire growing season is still ahead and it's too early to predict the upcoming yields.
CBOT wheat futures inched lower following the USDA's downward revision to U.S. export sales. However, analysts with AgResource Company maintain a neutral outlook through this winter.
