CBOT corn futures drop on technical trading
CHICAGO, April 1 (Reuters) - Chicago Board of Trade corn futures ended lower on Wednesday in a flurry of technical trading, as investors shed positions after U.S. President Donald Trump's comments suggested an end to the Middle East conflict could be close, market analysts said.
Trump told Reuters the U.S. would end its war on Iran fairly soon and could return for "spot hits" if needed, hours before he was scheduled to make a prime-time address to the nation. The president has vacillated between overtures towards ending U.S. military activity and threatening escalation against Iran if that nation does not give in to U.S. demands. MKTS/GLOB
Grains followed crude oil and the U.S. dollar .DXY lower, while Wall Street's main indexes rose on Wednesday, building on their biggest one-day gains in nearly a year. O/R
CBOT March corn CH26 settled 3-1/2 cents lower at $4.54-1/4 per bushel. Earlier in the session, the most-active contract Cv1 touched down to $4.48-1/2 a bushel, the lowest price since March 10.
Grain prices have broadly tracked fluctuations in crude oil during the war, reflecting the use of corn and soyoil in biofuels and knock-on effects on crop production from rising diesel and fertilizer prices.
Spot basis bids for corn jumped on Wednesday at processing facilities, grain elevators and river terminals in the U.S. Midwest as farmer selling slowed, dealers said.
