Market News

South American harvest pressures soybeans

 

Soybeans were lower on fund and speculative selling. Harvest weather for South America looks good, with another higher production guess for Argentina out Friday. Argentina’s Ag Ministry now sees 2015 production at 59 million tons, 1 million more than the previous projection. Also, a renewed truck strike in Brazil hasn’t had much of an impact. Still, the continued strong commercial demand for U.S. beans limited losses. Soybean meal and oil were lower.

Corn was lower on fund and technical selling. There’s been more rain around the region, further delaying planting in some key growing areas. However, some areas should make good progress and there are demand concerns due to avian influenza. Longer term forecasts for the Eastern Midwest are more conducive for planting activity. Ethanol futures were lower. Friday, unknown destinations bought 121,400 tons of 2014/15 U.S. corn.

The wheat complex was lower on fund and technical selling. There’s more rain in the forecast for Oklahoma and Texas, helping to recharge soil moisture around the Southern Plains. Past that – world crop conditions generally look good, with no real bullish motivation tied to issues in the Eastern Midwest, Northwestern Plains or India. Japan is tendering for 120,000 tons of feed wheat and Iraq is in the market for 50,000 tons of wheat.