Demand props up soybeans, corn
Soybeans were higher on commercial and technical buying. Contracts bounced back from Thursday’s drop and demand is solid, but the fundamental outlook hasn’t changed. U.S. acres could be larger if corn planting delays continue and there’s a lot of export competition from South America expected. Still, the U.S. and Brazilian prices are a lot closer than normal for this time of year. The market’s also going to continue to monitor currency and political developments in Brazil. Soybean meal was mixed on commercial spread adjustments and bean oil was up on follow through and a higher move in crude oil.
Corn was higher on commercial and technical buying. Corn also saw a bounce and getting support from solid demand and weather. Forecasts had more planting delaying rain in parts of the region and some of those acres could be switched to beans. Final planting dates for crop insurance are looming in parts of the Midwest. Ethanol futures were higher. Corn will also continue to monitor developments in Brazil. France’s AgriMer says 99% of that nation’s corn crop is planted. According to Allendale, Mexico could import a record amount of corn from Brazil this year.
The wheat complex was higher on commercial and technical buying. Wheat’s assessing possible damage from recent storms in Oklahoma and Kansas. The dollar was lower, but the supply side of the market does limit any real long term update. Parts of northern China are dry, which the trade will continue to keep an eye on. Tunisia bought 92,000 tons of optional origin milling wheat. According to France’s AgriMer, 75% of soft wheat was rated good to excellent, down 1% on the week.
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