Not much volume changes for Mexico grain market

Physical trading was modest this week in the Mexican cash grains markets as purchases in locally produced and imported corn dominated activity.

"There has been some business, but we haven't seen a whole lot of volume, the market really has been very quiet this week," said one trader in Mexico's key central Bajio grains region.

Traders said the continuing stability of the Mexican peso, which recently has been at its strongest and most stable level in 16 months, helped spark some trading interest.

"With the peso staying in a pretty tight trading band, it has been much easier to plan some purchases and we have seen more buying interest, especially, from the animal-feed sector in the last few weeks," said another Mexican trader.

Buying in imported grains was dominated by yellow corn. In the local market, business continued with the ongoing 2009 spring-summer white corn harvest from Bajio, even though the harvest has now passed its peak.

Corn and wheat futures closed stronger Friday at the Chicago Board of Trade, with March corn up 3/4 cent at $3.97 3/4 a bushel and March wheat settling 9.5 cents higher at $5.28 a bushel.