Market News

Corn up on an oversold bounce

Soybeans were mixed on commercial spread adjustments. Crop conditions in South America generally look favorable and the trade expects the USDA to report a record U.S. crop this year. Demand is solid and contracts were oversold after a couple of days of losses, supporting contracts at points. Soybean meal was mixed, following beans, and bean oil was down on profit taking. Brazil’s Ag Ministry says soybean exports for November were 316,094 tons, compared to 1 million tons in October.

Corn was higher on commercial and technical buying. Corn saw a bounce after establishing new two month lows on Thursday. Many forecasts have more near term rain in key growing areas of Argentina and Brazil. Safras e Mercado projects Brazil’s soybean crop at 92.3 million tons, compared to the USDA’s most recent guess 83.5 million. Ethanol futures were mostly lower. Brazil’s Ag Ministry says corn exports for November were 961,433 tons, compared to 1,101,854 in October.

The wheat complex was mixed with Chicago and Kansas City up on an oversold bounce and Minneapolis mixed in consolidation trade. Wheat hit three month lows Thursday and while there’s a lot of wheat available, there’s a reluctance to sell-off too much further. Parts of the Southwestern Plains are dry as the winter crop heads towards dormancy. The National Australia Bank estimates that nation’s wheat crop at 29.4 million tons, up 22% on the year.