Market News

Grains, oilseeds continue to get ready for reports

Soybeans were mostly lower on pre-report position squaring. The trade’s getting ready for the USDA numbers out Friday, including crop production, quarterly stocks, and the monthly carryover update. China bought 120,000 tons of optional origin beans for delivery next marketing year and, in any event, the nearby supply remains tight, supporting January. Soybean meal pretty much mirrored beans and bean oil was up modestly. According to Brazil’s CONAB, 2012/13 soybean production should hit 82.68 million tons, up slightly from last month’s estimate of 82.63 million. South Korea’s Feed Leaders’ Committee bought 45,000 tons of optional origin soybean meal. USDA’s weekly export sales report is out Thursday at 7:30 AM Central. Soybeans are pegged at 200,000 to 400,000 tons, meal is seen at 75,000 to 150,000 tons, and oil is placed at 10,000 to 30,000 tons.

Corn was higher on commercial and technical buying, in addition to pre-report position squaring. Corn’s eagerly awaiting the final tally of last year’s crop, waiting to find out how big of an impact drought had on yield and acreage. Quarterly stocks are also a key component as they’ll fill us in on at least some of the recent questions about demand. Ethanol futures were higher. Brazil’s CONAB raised its’ 2011/12 export projection to a record 21.5 million tons, pegging 2012/13 production at 72.19 million tons. Weekly U.S. corn export sales are expected to be between 100,000 and 300,000 tons.

The wheat complex was lower on technical selling, the higher dollar, and pre-report position squaring. There was no real fresh supportive news for wheat and contracts continue to take the path of least resistance ahead of the USDA winter acreage estimate. The trade’s watching the U.S. Plains and chances for rainfall in some Southern areas. European wheat was up modestly on the weak euro and position squaring ahead of the USDA numbers. In sell-buy-sell activity, Japan bought 36,450 tons of feed wheat and 38,580 tons of feed barley, while tendering for another 120,000 tons of feed wheat and 200,000 tons of feed barley. In outright export trade, Japan issued a tender for 121,188 tons total of Australian standard white, Tokyo’s first tender for Australian wheat in six weeks. Sri Lanka bought 13,500 tons of high protein wheat from Pakistan. Ukraine’s Ag Ministry estimates 2013 grain production at 50 million tons, compared to the 2012 final of 46.2 million tons. Kiev adds 96% of the winter crop has emerged with 92% said to be in satisfactory condition. Weekly U.S. wheat sales are estimated at 200,000 to 450,000 tons.

Add Comment

Your email address will not be published.


 

Stay Up to Date

Subscribe for our newsletter today and receive relevant news straight to your inbox!