Commodities for Friday, June 7, l985 : Dry Weather Boosts Grains
Dry conditions in the Midwest led to a sharp rally in soybean futures prices Friday on the Chicago Board of Trade, said Jerry Gidel, a grain analyst with Paine Webber.
Soybean prices began rallying after setting new lows Tuesday, and the recovery also triggered buying by traders who follow technical factors such as trends on price charts, Gidel said.
Bob Lekberg, a grain analyst with Shearson Lehman Bros., said accounts directed by computers were particularly active buyers.
Corn prices were also supported by concerns about the dry weather, analysts said.
Wheat prices came under pressure late in the session after an earlier rally. Lekberg said anticipation that progress in the harvest would lead to cash sales over the weekend encouraged sellers.
Coffee prices soared by the daily limit on the Coffee, Sugar & Cocoa Exchange in New York as the weather forecast called for temperatures that could dip into freezing and damage the crop in the southernmost regions of Brazil.