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Greater exports give a boost to soybeans and corn

Soybeans ended the Friday session higher, partly supported by the fact that soybean exports are up. They are 189 percent of what they were a year ago. If China continues its current pace, DTN says it could send U.S. ending stocks lower than USDA’s projection. A report Friday from Reuters stated that China’s August imports of soybeans from Brazil rose 22 percent from a year ago. There is at least some harvest price pressure expected, but soybeans are supported by the higher market for soybean oil. Traders are keeping an eye on South America because of its dry planting season.

Corn ended slightly higher Friday. The looming harvest is exerting downward pressure on the corn price, but that is weighed against good demand, thanks to China taking about 10 million metric tons of U.S. corn. Corn exports are 147 percent of a year ago. Some of Friday’s strength in corn was also related to concerns about dry weather in South America. The International Grains Council lowered world corn production projections by six million metric tons.  

Wheat was lower the entire Friday trading session. There is rain headed to Ukraine and Argentina. Both are dry. Losses in wheat futures were limited, however, by Western U.S. drought conditions, but it is a bit too early to be concerned about that. Further pressure on the wheat market is from what DTN says is publicity of record world ending wheat stocks.

  • I’m afraid yearly crop totals are going to be low and a lot will not be harvested due to the continued
    wet weather. We have a good Tobacco crop in Virginia, although there is much more to be
    Harvested.
    I am curious to find out how much crop has been destroyed due to the devastating fires in California.
    Our prayers include all those impacted.

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