Post

Weather pressures corn, soybeans

Soybeans were lower on speculative and commercial selling, with November notching a new contract low. There was more rain in parts of the Midwest over the weekend and the trade is expecting a very large, if not record, crop. USDA reports 90% of soybeans are at the pod setting stage, compared to 89% on average, with 70% of beans rated good to excellent, down 1% on the week. Soybean meal was lower and bean oil was higher, adjusting product spreads.

Corn was lower on fund and speculative selling. Corn was also assessing that weekend rainfall and expecting a probable record crop this year. According to the Ag Department, 83% of corn is at the dough making stage, compared to 78% on average, but 35% has dented, compared to 43% on average. 73% of corn is called good to excellent, up 1% from a week ago. Ethanol futures were lower. Colombia bought 120,000 tons of U.S. corn and Costa Rica picked up 113,673 tons, both new crop.

The wheat complex was lower on fund and technical selling. Wheat’s fundamentals remain bearish, largely due to the world supply, but there are concerns about quality in some areas. USDA states 27% of the spring wheat crop is harvested, compared to 49% on average due to rain in the Northern Plains, and 66% of the crop is in good to excellent condition, down 2% from last week.