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CBOT rice ends higher on commercial interest

CHICAGO: Rough rice futures at the Chicago Board of Trade ended higher on Tuesday on commercial buying, CBOT traders said.

CBOT rice settled 1 to 4 cents per hundredweight (cwt) higher, with January up 4 cents at $5.27.

"Term (Commodities) was continuing to support the market, and was the main buyer in the March," one trader said.

He said the March contract, which rose to a high of $5.56, could see resistance at the $5.58 to $5.60 level. "If that level is breached, the next resistance will be at just under $6.00."

The trader said one player spread 70 January/March contracts at 23 cents.

He added that there was increased interest in new crop months. November rose 3 cents to $6.70, while September was steady at $6.75.

The US Department of Agriculture, in its weekly report, said world market prices of milled rice were unchanged from a week ago. Loan deficiency payments were also left unchanged.

Rice futures volume was estimated by the CBOT at 500 contracts on Tuesday, compared to 243 traded on Monday.-Reuters