Market News

Soybeans up on new export sale

Soybeans were higher on commercial and technical buying. Unknown destinations bought 132,000 tons of old crop U.S. beans Tuesday morning. 32% of this year’s crop is planted, a little slower than last year, but matching the five year average. The quicker corn planting pace may mean fewer acres are switched over to soybeans. Soybean meal was higher, following beans, and bean oil was very narrowly mixed, consolidating.

Corn was fractionally mixed, watching weather and its impact on this year’s planting and development. 71% of U.S. corn is planted, slightly behind 2016, but just ahead of the typical pace. Emergence is slightly slower than average with more rain in the Midwest this week and the potential for cooler temperatures. Ethanol futures were lower ahead of the weekly EIA numbers, watching for any new developments with Brazil’s move to restrict U.S. ethanol imports. Rain in Brazil is not expected to damage that nation’s currently developing second corn crop.

The wheat complex was narrowly mixed, consolidating. The winter wheat good to excellent rating was down 2% from last week, but the supply side of the market limits any real upside. Spring wheat planting is now ahead of average, but emergence is a little slow. Japan is tendering for 115,491 tons of food wheat from the U.S. and Canada. There’s about two weeks left in the 2016/17 marketing year for wheat.