Market News

Corn, soybeans end 2013 on a down note

Soybeans were lower on fund and commercial selling. There are some concerns about weather in parts of Argentina, but Brazil looks good and the trade expects a record crop out of the continent. Past that – there was no real fresh news and business was pretty quiet on the last trading day of 2013. Soybean meal was lower and bean oil was higher on product spread trade. Argentina’s Grain Exchange, via Allendale, projects 2013/14 soybean production at 55 million tons, with Allendale adding harvest has started on early planted beans in parts of Brazil.

Corn was lower on commercial and fund selling. Year to year, corn posted big losses, ending 2013 as the worst preforming commodity on the Goldman Sachs Index. Contracts held right around their recent lows and the trade expects USDA to report a record crop and big jump in ending stocks on January 10. Argentina’s Grain Exchange, via Allendale, estimates 2013/14 corn production at 22 million tons, with hot, dry weather expected over the next few days, ahead of a more mild pattern. According to Ukraine’s Ag Ministry, corn exports since the start of their marketing year are 9.5 million tons, with cumulative sales 30% ahead of 2012/13.

The wheat complex was higher on technical buying and short covering. Contracts started to see a bounce off of the lows in the overnight session and after two months of losses, the complex looks oversold. Additionally, it looks like export demand is improving with U.S. wheat competitively priced on the global market. Ukraine’s Ag Ministry reports grain exports from July 1 to December 30 were 18.48 million tons, 6.8 million tons of that wheat and 5.5 million of that milling wheat. Jordan issued a tender for 100,000 tons of wheat.

Add Comment

Your email address will not be published.


Stay Up to Date

Subscribe for our newsletter today and receive relevant news straight to your inbox!