Grains Blast Off to New Contract Highs

Grain futures surged overnight to new contract highs, with December corn reaching a three-year high and November soybeans hitting a two-and-a-half year high. The gains were driven by an unusual convergence of bullish fundamental elements and technicals.

Veteran grain traders are cautious, however, remembering the old adage that asks 'when is a market the most very bullish?' The answer, they say, is at the top in price.

The U.S. dollar index was slightly higher, while October Nymex WTI crude oil prices were lower, trading around $82.00 a barrel. The yield on the 10-year U.S. Treasury yield remained steady at 4.68%.