Market News

Soybeans, corn, wheat higher

 

Soybeans were higher on commercial and technical buying. China bought 240,000 tons of 2015/16 U.S. beans, with record imports expected by Beijing this year. September purchases by China were 7.26 million tons, down 6.7% on the month, but up 44.3% on the year. The USDA reports 92% of soybeans are dropping leaves, compared to the five year average of 91%, and 62% is harvested, compared to 54% on average. 64% of U.S. soybeans are in good to excellent condition, unchanged on the week. Soybean meal and oil were higher, following the lead of beans. Soybean planting progress is reportedly slower than average in parts of Brazil.

Corn was higher on short covering and technical buying. Corn was watching harvest activity ahead of the weekly USDA numbers. The crop progress and export inspections reports were delayed a day by Columbus Day, which also pushes weekly export sales back to Friday. As of Sunday, 94% of U.S. corn has reached maturity, compared to 91% on average, and 42% is harvested, compared to 43% on average. 68% of corn is in good to excellent shape, steady with last week. Ethanol futures were higher. France’s Ag Ministry projects 2015 corn production at 13.1 million tons, compared to the prior estimate of 13.5 million.

The wheat complex was higher on commercial and technical buying. Wheat’s keeping an eye on dry conditions in Australia and the Black Sea region, along with planting conditions in U.S. winter wheat growing areas. The USDA says 64% of winter wheat has been planted, compared to 66% on average, and 33% has emerged, compared to 36% on average. France’s Ag Ministry estimates 2015 wheat production at 41.6 million, 1 million more than the last guess. Japan is tendering for 117,000 tons of food wheat from the U.S., Australia, and Canada and 120,000 tons of feed wheat. Syria is in the market for 200,000 tons of milling wheat.