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Soybeans strong after USDA numbers

Soybeans were sharply higher on commercial and speculative buying. The USDA has acreage at a record 83.7 million acres, up from March but a little less than what the trade was expecting. Quarterly stocks were up 39% on the year. Weekly export numbers were neutral. Soybean meal and oil followed beans higher.

Corn was lower on fund and technical selling, with September hitting a two month low. Corn acreage is above March’s estimate and up 7% on the year and quarterly stocks were larger than expected. Mexico bought 120,400 tons of U.S. corn, with 80,265 for delivery in 2016/17 and 40,135 for delivery in 2017/18. Ethanol futures were higher.

The wheat complex was mixed. Chicago consolidated, while Kansas City and Minneapolis were up on short covering and technical buying. Wheat acreage was also up from March, but down 7% on the year, and quarterly stocks increased 30%. The fundamentals are bearish but wheat’s still able to generate buying interest. According to DTN, winter wheat harvest results are variable, with generally good yields against generally low protein levels. Tunisia bought 109,000 tons of durum wheat and 100,000 tons of milling from unknown origins.