Soybeans were mixed with nearbys up on old crop/new crop spread trade. The trade may be expecting a record South American crop but even with some easing of delays, supplies are still slow to leave Brazil. As long as the delays persist, the trade will continue to keep an eye out for new export demand. Dow Jones Newswires notes cash soybean basis levels were firm Tuesday. Soybean meal was up and bean oil was down on product spread adjustments. South Korea’s Major Feedmill Group and Feed Leaders Committee each bought 55,000 tons of soybean meal from South America.
Corn was mixed, mostly firm in consolidation trade. May was the only contract in the red, seeing continued pressure from last week’s surprisingly bearish quarterly stocks report. Corn’s keeping an eye on planting activity in the South while waiting for next week’s supply and demand update. Ethanol futures were higher. South Korean feed buyers picked up 120,000 tons of optional origin feed corn, while the Korea Corn Processing Industry Association passed on a tender for 55,000 tons of GMO optional origin corn citing high prices.
The wheat complex was higher with Minneapolis leading the way up on commercial and technical buying. Spring wheat demand is good and the trade’s concerned about flooding due to the heavy snow pack in Canada. 34% of winter wheat’s in good to excellent shape, well below a year ago, with soft red in much better condition than hard red. South Korea’s Feed Leaders Committee bought 55,000 tons of optional origin wheat and Bangladesh purchased 50,000 tons of wheat, also optional origin. According to Ukraine’s Ag Ministry, grain exports from July 1 to April 1 were 19.4 million tons, up 26% from the same period last marketing year. The United Kingdom’s Home Grown Cereals Authority reports 95% of wheat area has been drilled with the remaining 5% expected to go to spring crops, adding winter crop growth has been limited by cold, wet weather during March. European wheat futures were lower on follow through selling but losses were limited by weather concerns.