AFB Rice Close: Futures Ended Higher And Reclaimed Earlier Declines
Rice futures closed higher for the day, but mostly reclaimed yesterdays decline. Trading is in a consolidation pattern with September finding resistance just above $16. Clearly, there is a concern about the Southern rice acreage, which appears to have contracted, as a result of high fertilizer costs and a good alternative with soybeans or perhaps corn. However, realistically it doesnt appear that current futures are sustainable. Export demand for the U.S. rice remains poor.
|Long Grain Cash Bid for||April||1374/cwt||to||– – –|
|NC||1446/cwt||to||– – –|
|Chicago Futures:||May||16 1/2||at||1550 1/2|
|March ’12||3 1/2||at||1656 1/2|
|Today’s Arkansas LDP rate for long grain rice is||0¢|
|medium grain rice is||0¢|