Market News

Supply weighs on grains, oilseeds

Soybeans were lower on fund and technical selling. It was a solid week for export sales and there was another purchase by China, 110,000 tons of new crop, but those were outweighed by the expected record crop. Crop condition ratings are at the highest level in 20 years. Soybean meal and oil followed beans lower.

Corn was lower on fund and technical selling. There’s been more light rain around the Midwest, but longer term forecasts do look drier and warmer for most of the region. Corn also continues to focus on this year’s expected record crop, while watching early harvest activity. Ethanol futures were lower.

The wheat complex was lower on fund and technical selling. Rainfall is delaying winter wheat planting and spring wheat harvesting, but more importantly, it’s recharging soil moisture. In any event, wheat remains bearish due to the large available world supply. In sell-buy-sell trade, Japan bought 85,300 tons of wheat from the U.S. and 23,800 tons from Canada.