Soybeans were higher on fund and commercial buying, along with spillover from corn. 2013 soybean production was up on the year and larger than expected at 3.29 billion bushels, while quarterly stocks were up on the year, but ending stocks were unchanged, reflecting the strong demand. World ending stocks were up on the month and USDA did increase its outlook for Brazilian beans. China bought 216,000 tons of 2014/15 U.S. soybeans, picking up a combined 791,000 tons of combined old and new crop U.S. beans on the week. China’s Ministry of Customs adds December 2013 imports were a record for any month at 7.4 million tons due to strong crush demand, and 2013 imports were an all-time high at 63.38 million tons. Soybean meal was mixed, unable to hold onto earlier gains, and oil was up, settling near session highs.
Corn was sharply higher on fund and commercial buying. 2013 production was a new all-time high at 13.93 billion bushels, but that was less than what analysts had been expecting, so the report was bullishly construed. Quarterly and ending stocks were also below pre-report estimates. Unknown destinations bought 180,000 tons of U.S. corn for delivery during the current marketing year. Ethanol futures were higher. Rosstat, Russia’s statistics agency, states 2013 corn production was 10.7 million tons, compared to 8.2 million in 2012.
The wheat complex was lower on fund and commercial selling. The winter wheat planted area estimate was down on the year and smaller than expected, but the world supply is more than ample. Additionally, domestic quarterly and ending stocks were above what the trade was projecting. Venezuela purchased 125,700 tons of U.S. wheat, 79,450 tons hard red spring and 46,250 tons hard red winter, for delivery this marketing year. Taiwan bought 54,800 tons of U.S. milling wheat. Russia’s statistics agency Rosstat reports 2013 wheat production in clean weight was 52.1 million tons, compared to 37.7 million in 2012, and matching USDA’s estimate.
© Copyright 2014 Brownfield, All rights Reserved. Written For: Brownfield