28 May 2015 | Online since 2003



China stepping up wheat purchases; corn market 'modest gains'


Soycomplex

Beans closed narrowly mixed. Those hoping for a holiday delayed "Turnaround Tuesday" on a Wednesday were ultimatey disappointed, although the overnight market traded positive for much of the day. Good rains in Argentina, along with an outlook for somewhat cooler temperatures, and generally near ideal weather in Brazil - where the harvest is now under way - capped gains. "The window to really hurt the Brazilian soybean crop is beginning to close which sets the stage for a record amount of soybeans hitting the market," said one commentator. There's also a loud undercurrent of rumour of Chinese cancellations of US soybean purchases, although nothing has been confirmed yet.


Monday's MLK Day holiday means that we won't get to see the USDA's regular weekly export sales data until Friday. Cancellations are needed, with US sales commitments already 102% of the USDA's target for the season. Mar 14 Soybeans closed at $12.79 1/2, down 1 cent; May 14 Soybeans closed at $12.65, up 1 cent; Mar 14 Soybean Meal closed at $419.40, up $2.90; Mar 14 Soybean Oil closed at 37.84, down 26 points.

Corn

The corn market managed modest gains, closing around the middle of a relatively narrow daily trading range. Improved South American weather limits upside. Various analysts see Brazil's corn crop 5-6 MT higher than the USDA's 70 MMT. The results of Israel's tender for 90,000 MT of corn for April/May shipment are expected tomorrow.


Also out tomorrow will be the weekly ethanol grind from the US Energy Dept. Last week's production fell sharply to 868,000 barrels/day, although this may have been down to logistical difficulties in moving physical corn due to the Polar Vortex deep freeze that hit the US. The trade will be looking for this week's production to be closer to 900,000 bpd. Weekly export sales are delayed until Friday. Current commitments on corn are 80% of the USDA's target for the season versus last year’s figure of 73% and the 5-year average of 58%. South Korea bought 60,000 MT of US corn in a tender. There's been no progress made in resolving the MIR 162 corn dispute with China it would seem. Chinese markets are closed Jan 31st – Feb 3rd for the Lunar New Year holiday. Their markets re-open Feb 4th. Mar 14 Corn closed at $4.26 1/4, up 1 1/4 cents; May 14 Corn closed at $4.33, up 3/4 cent.

Wheat

The wheat market ended mixed, a cent lower to 3 cents higher. China are seen stepping up their wheat purchases with prices at 3 1/2 year lows. They are said to be actively seeking Australian and/or US wheat for April shipment. China imported almost 50% more wheat in 2013 than it did a year previously. "Another big Chinese/US export program starting into the spring and extending into harvest could favour the bull camp given the recent planting intentions report that showed a decline in acres from last year," said one market observer.


China sold 239,834 MT of wheat (56.43% of the total offered) at today’s government auction. The Xinhua news agency said that China will continue their stockpiling policy in 2014 for wheat, rice, sugar, and rapeseed. Stockpiling of soybeans and cotton will cease and be replaced by direct susidies. The Canadian Stats Office said that they'd exported 1.428 MMT of wheat (excluding durum) in November 2013, up 53% versus the same month a year previously.

That takes exports for Aug/Nov to 5.716 MMT, up 27% on a year previously. The top home was the US, taking 1.125 MMT, followed by Mexico (524 TMT), Indonesia (492 TMT), Japan (393 TMT), Brazil (289 TMT), Italy (275 TMT) and Morocco (256 TMT). Mar 14 CBOT Wheat closed at $5.61 1/4, down 1 cent; Mar 14 KCBT Wheat closed at $6.24 3/4, up 3 1/2 cents; Mar 14 MGEX Wheat closed at $6.16 3/4, up 3 cents.

Download




Comments


No comments posted yet. Be the first to post a comment

To post comment without approval login or register

Display name

Please enter your name

Email (optional)
Comment

Please enter your comment

Post Comment

Your comment submitted successfully.Please wait for admin approval.

Some error on your process.Please try one more time.



Jobs


14 July 2015
Job for Harvest / Autumn helper required to join our team on an arable farm >>> Suffolk <<<
Harvest / Autumn helper required to join our team on a 1200 ha arable farm just north of Ipswich, starting July to end of Sep...

1 July 2015
Harvest job. Corn cart, Combine driver, drilling cover crops - Essex
1600 acres big kit normally have 1 or 2 students / OE people (couple would be ideal) for corn carting (JCB fastracs),&nb...

1 August 2015
Seasonal tractor driver for combinable & root crop harvest: job on Notts / Lincs border.
Tractor & machinery operator for combineable and root crop harvest with a family farming business growing a bro...

19 July 2015
Jobs for Harvest Workers required on large arable operation. Cambridge
Large arable farming business covering 1550 ha is looking for two workers to assist with the harvest operations. 

We...

25 May 2015
Job  Fencer/ General farm worker in central Scotland
Working along side fencing contractor with sheep and beef work periodically.



Top stories you may have missed
15 May 2015 | Arable

Scotland’s Rural Affairs Secretary Richard Lochhead is calling on the Europ...


15 May 2015 | Finance

As the country settles down following the turmoil of the general election, ...


14 May 2015 | Animal Health

New research from the Universities of Bristol and Cambridge has found that ...


13 May 2015 | Animal Health

A new publication to help farmers prevent sheep lameness and offer advice o...


12 May 2015 | Agri Safety

The Farmers’ Union of Wales is putting the spotlight on Liver fluke at next...


5 May 2015 | News

The UK is now third in the global rankings for utility-scale solar energy a...


29 April 2015 | Agri Safety

A recent Rural Watch demonstration and information event gave Farmers’ Unio...


24 April 2015 | Meat Processing

Retailers should confirm their commitments to sourcing UK lamb this season,...


15 April 2015 | Meat Processing

A leading retailer has apologised after selling imported lamb in a Borders ...


9 April 2015 | Finance

The time has come for landlords to expect to see reductions in farm rents, ...