March corn was up 4 1/2 cents late in the overnight session. Outside forces look mixed. Signs of firm demand and ideas that grains will need to compete for planted acres plus the inflationary undertones to agricultural markets helped drive corn to a new high for the move overnight. March corn closed moderately higher on the session yesterday with active buying in agricultural markets and a positive tilt to equity markets helping to support new buying and short-covering. December corn pushed to new highs for the move to its highest level since September of 2008, with the market closing up 22 3/4 cents from Monday's lows. Strength in the other grains, weakness in the US dollar and ideas that livestock consumption could bounce over the short term helped to support solid gains early in the session yesterday. And news of some new export business and a general bullish attitude to most agricultural markets added to the positive tone. The USDA announced export sales of 120,000 tonnes of US corn to an unknown destination for the 2010/11 season. The strike at the ports in Argentina is also seen as a potential positive force. The government called off the strike late yesterday, and government officials will meet with unions to try to resolve the pay issues. Weather has been more favorable in Argentina but looks to be drying out over the next week.
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