Market News

Corn down, soybeans mostly lower

Soybeans were mostly lower in consolidation trade. Growing conditions generally look really good and near term forecasts are warmer, but non-threatening, pressuring those new crop months. Still, November did post a gain on the week. Exports have been solid recently, but commercial demand remains very light. Friday, unknown destinations bought 464,000 tons of 2014/15 U.S. beans and China picked up 116,000 tons of 2014/15 optional origin beans. Soybean meal was down and bean oil was up on the adjustment of product spreads. Argentina’s Ag Ministry now projects 2013/14 soybean production at 53 million tons, compared to last month’s estimate of 54 million. Allendale adds shipments out of Argentina’s Rosario port have been delayed by several work stoppages.

Corn was lower on fund and technical selling. Corn’s also looking at those forecasts for good near term crop weather. Fundamentals are bearish with the trade expecting a very large crop and high average yield. USDA’s crop condition report on Monday should have a very high rating and the first survey based crop numbers of the season are out in August. Ethanol futures were lower. Argentina’s Ag Ministry pegs 2013/14 corn production at 33 million tons, compared to 32.1 million in June.

The wheat complex was lower on profit taking and technical selling. Winter harvest conditions are good and spring development weather’s favorable. Wheat’s watching the situation in Ukraine, but it may not have an impact on export trade. Strictly from a market point of view, the tensions earlier in the year didn’t cause a substantial disruption in shipments from the Black Sea region. Iraq bought 100,000 tons of hard milling wheat, half from Russia and half from Canada.