A fresh wave of economic uncertainty helped push the dollar higher on Tuesday, which dampened demand amongst commodity futures brokers and traders for grains like wheat and corn.
"Prices in Chicago are adjusting as a function of the euro-dollar rate," Sebastien Poncelet, a consultant at Paris-based farm adviser Agritel, told Bloomberg News in an interview. "There are no other factors today."
December wheat futures dropped 1 and 3/4 cents to 672 and 1/4 cents per bushel on the Globex electronic trading exchange, while corn futures for delivery in two months slipped 6 cents to 562 and 1/4 cents per bushel.
On the other side of the globe, Thailand announced that it would halt sales of rice from government stockpiles as flooding worsened across the nation's heartland; at 9:36 a.m. EST, Chicago Board of Trade rough rice futures for January 2011 delivery were down 0.105 cents to 14.85 cents per hundredweight. Rice futures have already surged more than 50 percent this year, largely driven by concerns about falling supply and potential famine in flood-devastated Pakistan.
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