Market News

Modest changes for soybeans and corn

Soybeans were weak on profit taking and technical selling. Argentina’s in the spotlight with some forecasts showing warmer, drier conditions in the near future. That’s help dry some areas out, but could cause damage in others. Conditions in Brazil continue to look relatively good. Bean meal was mixed in spread trade and oil followed beans lower. Weekly export sales are delayed until Friday at 8:30 AM Eastern/7:30 AM Central. The International Grains Council projects 2016/17 world soybean production at 334 million tons, down 2 million from the previous estimate.

Corn was firm on short covering and technical buying. Corn’s also watching conditions in South America, especially the mixed conditions across Argentina. The trade’s also waiting to see policy under the incoming Trump administration. Incoming Press Secretary Sean Spicer indicated Thursday TPP and NAFTA would be targets of early executive orders. Unknown destinations bought 110,400 tons of 2016/17 U.S. corn. Ethanol futures were lower following another week of record production and a move to multi-month highs for stocks. The International Grains Council sees world corn production at 1.045 billion tons, up 3 million.

The wheat complex was mostly modestly lower. Chicago and Kansas City were down on supply pressure, while nearby Minneapolis contracts were up on the comparatively good demand for higher protein varieties. The global fundamental outlook for U.S. wheat continues to be bearish. Japan bought 117,600 tons of food wheat from the U.S. and Canada and Jordan purchased 50,000 tons of optional origin milling wheat. The International Grains Council expects 2016/17 global wheat production to total 752 million tons, an increase of 3 million from the previous projection.