Market News

Soybeans, corn down watching harvest activity

Soybeans were lower on profit taking and technical selling. Demand is strong, with China buying another 132,000 tons of 2016/17 U.S. beans, but the USDA does expect record production. Harvest conditions in most areas generally look good. FC Stone now sees production at 4.386 billion bushels with an average yield of 52.8 bushels per acre. Soybean meal was lower and bean oil was higher on the adjustment of product spreads. According to Brazil’s Trade Ministry, soybean exports during October were 998,191 tons, down on both the month and the year.

Corn was lower on profit taking and technical selling. Corn’s also looking at strong demand against what should be record production this year. The latest private estimate, from FC Stone, has corn at 15.226 billion bushels with an average yield of 175.3 bushels per acre. The USDA’s next set of supply and demand estimates is out Wednesday, November 9th, the day after Election Day. Ethanol futures were lower. The U.S. Energy Information Administration says ethanol production for the week ending October 28th was 1.022 million barrels per day.

The wheat complex was mixed with Chicago and Kansas City up and Minneapolis mostly steady to weak. Forecasts have scattered rain in the Plains, which could miss some of the drier parts of the region. The supply is bearish, but demand has been a little better than expected. The USDA attaché in India lowered its wheat production outlook to 87 million tons. Australia’s CBH lowered its outlook for wheat production in Western Australia to 7.8 million to 8.4 million tons.