Market News

Soybeans up on USDA numbers

 

Soybeans were higher on commercial and technical buying. The USDA lowered 2015 production, harvested acreage, and new crop ending stocks estimates. The USDA did cut exports, while raising domestic crush use. Soybean meal was higher and bean oil was steady to lower. USDA raised ending stocks for bean oil and left soybean meal supplies unchanged. The 2015/16 marketing year for soybean products started October 1st. Friday, China bought 360,000 tons of 2015/16 U.S. beans.

Corn was lower on fund and technical selling. As expected, the USDA lowered production and ending stocks estimates. There’s plenty of corn available though and the trade’s focusing on harvest activity at this time. The Ag Department did increase the average yield estimate slightly, while lowering harvested acreage less than what some analysts were expecting. Ethanol futures were lower.

The wheat complex was lower on fund and technical selling. The USDA lowered U.S. ending stocks, while raising the world supply projection. The trade’s keeping an eye on weather in the U.S. Plains, Australia, and the Black Sea region. In any event, export demand for U.S. wheat remains slow and global supplies are ample. Algeria reportedly bought 650,000 tons of optional origin milling wheat and Israel purchased 40,000 tons of optional origin feed wheat.