Following USDA’s supply / demand and WASDE reports in December, CME Group’s agricultural markets ended mostly higher.
At the close, March corn futures closed up 4 1/2 at $ 5.91. May futures contracts ended up 4 1/4 ¢ to $ 5.93. July corn futures closed 3 ¢ higher at $ 5.91.
January soybean futures ended 3 1/2 higher at $ 12.64.
Soybean futures in March were 3 1/4 higher at 12.72 1/2. May soybean futures ended up 2 3/4 ¢ at $ 12.78.
March wheat futures were down 17-3 / 4 to $ 7.76.
Soybean meal futures in January closed up 2.50 per short ton at $ 359.70.
Soybean oil futures in January were down 0.70 a cent to 54.85 a pound.
In foreign markets, the crude oil market is $ 1.74 per barrel lower at $ 70.62, the US dollar is higher, and the Dow Jones Industrials is 30 points (+ 0.09%) higher at 35 785.
READ MORE: USDA data is neutral to negative for corn and soybean markets.
Jason Roose, US Commodities, says today’s USDA Crop Report was price neutral on all US corn and soybean production numbers compared to November’s report.
“Ethanol consumption remained unchanged, which was seen as a surprise. The crops of Brazil and Argentina also remained unchanged, with an increase in world corn production and a decrease in world soybean production by 2 mmt, ”Roose said.
He added, “In a market dominated by fear of inflation, strong energy markets have retained a bullish premium in all markets and maintain strong end-user purchases during breaks. Weather and energies will continue to maintain grain volatility with significant South American harvest potential. giving grain resistance, ”says Roose.
The USDA and WASDE December Supply / Demand reports on Thursday put pressure on prices mid-session.
At mid-session, March corn futures are unchanged at $ 5.87. May futures are unchanged at $ 5.89. July corn futures are $ 1-5.87 lower.
January soybean futures prices are 9-1 / 2 lower at $ 12.51.
Soybean futures in March are 9 1/4 ¢ lower at 12.59 1/2. May soybean futures are 9 1/4 ¢ lower at $ 12.66.
March wheat futures are $ 21 to $ 7.72 lower.
January soybean meal futures are 3.60 per short ton higher at $ 353.60.
January soybean oil futures are 1.23 cents lower at 54.32 a pound.
In foreign markets, the crude oil market is $ 1.18 per barrel lower at $ 71.18, the US dollar is higher, and the Dow Jones Industrials is 18 points (-0.05%) lower at 35 736.
Soybean and wheat markets fall
CME Group’s agricultural markets are trading mostly lower on Thursday, ahead of the USDA report at 11:00 a.m. CT.
In early trading, March corn futures are ¼ ¢ higher at $ 5.87. May futures are unchanged at $ 5.89. July corn futures are ½ ¢ lower at $ 5.88.
January soybean futures prices are 6½ ¢ lower at $ 12.54.
Soybean futures in March are 6 to 12.62 ½ lower. May soybean futures are $ 6 to $ 12.69 lower.
March wheat futures are 12 ¢ lower at $ 7.82.
January soybean meal futures are $ 0.80 per short ton higher at $ 358.00. January soybean oil futures are 1.31 to 54.24 a pound lower.
In foreign markets, the crude oil market is $ 0.66 a barrel lower at $ 71.70, the US dollar is higher, and the Dow Jones Industrials is 114 points (-0.32%) lower at 35 640.
Private exporters on Thursday reported sales of 280,000 metric tonnes of soybeans for delivery to unknown destinations. Of the total, 140,000 tonnes are intended for delivery in the 2021/2022 marketing year and 140,000 tonnes are intended for delivery in the 2022/2023 marketing year.
Separately, the USDA’s weekly export sales report, delayed on Friday, shows high demand figures for corn and soybeans.
Maize = 1.13 million metric tons (mmt) versus trade expectation of 600,000 to 1.40 mmt.
Soybeans = 1.63 mmt. compared to trade expectations from 1.0 mmt to 1.8 mmt.
Wheat = 239,900 tonnes. compared to the expectations of the trade of 50,000 to 400,000 mt.
Soybean meal = 205,300 mt. compared to the expectations of the trade of 100,000 to 250,000 mt.
Bob Linneman, Kluis Advisors, says yesterday’s trading results can be revealing.
“Soybean prices were more than 20% below the low. Corn was slightly higher, which was surprising given the reported huge export sale in Mexico. This was the sixth largest sale on the list of corn exports. Wheat prices fell on Wednesday. American wheat is ignored at the export stage because we are overvalued, ”Linneman said in a note to customers.
Linneman added, “The USDA December report is historically a low key report. We don’t expect major changes. However, traders will be watching closely for updates to global numbers to see if the trend is for global supplies to increase. ”