Market News

Soybeans decline with no real fresh news from China meeting

Soybeans were lower on fund and technical selling. Beans were waiting to see what comes out of the high-level face-to-face meeting with China. Aside from the announced extension of the trade truce through January 2027, including a cap on tariffs, there were no significant developments for ag reported during Thursday’s session. China did buy 120,000 tons of 2026/27 U.S. beans ahead of the open, the first announced purchase in almost a week. Weekly sales numbers were bearish at 21.4 million bushels, led by China and Japan. Soybeans are watching U.S. harvest activity, including rain delays in some areas, along with conditions ahead of widespread planting in Argentina and Brazil. Soybean meal and oil futures both finished mixed, mostly lower, adjusting spreads.

Corn was lower on fund and technical selling. More harvest delays are probable in parts of the Corn Belt and there are quality concerns in some areas. Corn is also keeping an eye on the early planting activity in South America. The USDA will update supply, demand, and production numbers October 9^th, while CONAB’s next look at Brazil is set for October 15^th. Export sales were down on the week at 33 million bushels, possibly due to relatively high near-term U.S. prices. The week’s top purchasers were Japan and Mexico. 100,000 bushels were sold to unknown destinations for 2027/28 delivery.

The wheat complex was lower on fund and technical selling. Rain is delaying winter wheat planting in some areas, but that’s also reducing drought in the Central and Southern Plains, while the spring wheat harvest should wrap up soon. The USDA’s Small Grains Summary and Quarterly Grain Stocks reports are both out September 30^th. International focus is on the slow movement out of the Black Sea and planting in Russia and Ukraine, in addition to development weather in Argentina and Australia and the delayed spring wheat harvest in Canada. Global demand for U.S. wheat continues to be slow, with weekly sales below average at 9.8 million bushels, mainly to Mexico and Japan.