Market News

Soybeans, corn see slight bounce

 

Soybeans were higher on technical buying, pretty much seeing an oversold bounce off the new contract lows set earlier in the session. The big bearish factor for beans continues to be this year’s expected record crop. Quarterly stocks were the lowest in more than 40 years, but again, the trade’s focused on new crop supply. Soybean meal was steady to weak and bean oil was modestly higher. There have been no deliveries on October bean meal and deliveries on October bean oil have been about as expected.

Corn was higher on technical buying, also bouncing off of the new contract lows. Corn’s also seeing more focus on the expected record crop, combined with the large available supply. There’s some moderate to heavy rain in the forecast this week, which will delay harvest activity, but temperatures should stay above freezing. Ethanol futures were lower.

The wheat complex was mostly higher in consolidation trade. Wheat also has bearish fundamentals, mostly due to the large world supply. Prices are competitive, but that’s still not generating much new commercial demand. Still, the signs of better export demand are there: Morocco bought 9,000 tons of U.S. milling wheat. That’s not a huge purchase, by any means, but it’s from a non-traditional U.S. buyer. Morocco typically buys from France, but that nation’s quality was hard hit by late rainfall.