Market News

Modest changes in grains, oilseeds

Soybeans were higher on fund and technical buying. China bought 620,000 tons of new crop U.S. beans, but aside from that, there was no near term supportive news. However, over the long term, the trade is keeping an eye on late season rainfall and cooler temperatures around the Midwest. Soybean meal was down and bean oil was up on the adjustment of product spreads. Widespread soybean planting is very close in South America. Allendale states Argentine soybean processors are having problems sourcing beans due to farmers holding onto supplies.

Corn was lower on fund and technical selling. Corn’s also watching weather and the lack of freezing temperatures in the near term forecasts are encouraging. Traders pretty much just stuck near contract lows, keeping an eye on early harvest activity. Ethanol futures were lower. Ethanol production for the week ending September 12 averaged 931,000 barrels per day, up slightly on the week, but 11 % higher than a year ago. Ethanol stocks totaled 18.805 million barrels, a 16% year to year jump.

The wheat complex was mixed, with Chicago up and Kansas City and Minneapolis down. Wheat’s continuing to look at a bearish fundamental outlook, primarily due to the large available world supply. The trade’s expecting more rainfall in the Plains following the recent tropical storm, which will delay fieldwork around the region. DTN reports Egypt bought 180,000 tons of French and/or milling wheat, while Turkey picked up 200,000 tons of milling wheat from an unnamed seller. ABARE now pegs Australia’s 2014/15 wheat exports at 18.1 million tons, down around a half million from June’s projection. Russia’s Ag Ministry reports 71% of this year’s grain crop is harvested.