Though the corn market has seen both sides of unchanged, it is trading slightly lower at midday, and the May and December contracts are on track for losses on the week. If corn futures close higher today, it would mark three consecutively higher closes, and May futures are now just above their 20-day moving average.
Last week’s corn export shipments reached a marketing year high at 64.6 million bushels, and export sales for the month of February were reported at 211 mb which compares to 170 mb in January. Mexico has been the primary buyer of US corn.
In Brazil, some a of the driest regions for growing second crop corn are forecast to receive heavy showers over the next 10 days, but drier weather is expected after that. The second crop corn pollination will take place between April to early May.
Soybeans are trading higher today with support from soybean oil. Soybeans are on track for a loss on the week along with soybean meal, but soybean oil is on track for a gain with major support from palm oil. Yesterday’s export sales were poor, but a flash sale was reported which was supportive.
Yesterday’s export sales were reported at just 7.1 mb as Brazil dominates the export market with cheaper offers. A flash sale of 5.6 mb of old crop soybeans was reported for delivery to Mexico.
Palm oil has been the driver of higher soybean oil which in turn has supported soybeans, and Malaysian palm oil reserves were seen at an 8-month low on strong exports which shows the strong recent demand for veg oils.
All three wheat classes are trading higher this morning and are helping support both the corn and soybean markets. Chicago wheat is leading the way with KC not far behind. Chicago wheat is on track for a gain on the week and has moved well off its lows.
There have been reports that Russia has suspended some wheat exports following complaints by importers of low-quality wheat. With this backup, there are reportedly 500,000 mt of wheat that are loaded onto ships and waiting for certifications to sail.
Meteorologist John Barnick has said that the US Southern Plains have been too dry, that parts of western Europe have been too wet, and that the Black Sea region has been too warm and dry, not to mention at war.
Grain Market Insider is provided by Stewart-Peterson Inc., a publishing company.
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