Rebound of soybeans, corn and wheat
Soybeans were more expensive for commercial and technical purchases. Export sales have fallen this week, but still well above 1 million tonnes, paving the way for China to counter significant cancellations due to unknown destinations. Most forecasts shift to dry weather in southern Brazil and Argentina, in line with the La Niña phenomenon. The Buenos Aires Grain Exchange states that weather patterns can be a “major challenge” for production in Argentina. 56.1% of Argentine soybean crops are planted. Soybean meal was mostly low in spread trading and profit taking. Soybean oil was more expensive, supported by commercial purchases. India, the world’s largest purchaser of vegetable oil, purchased 20,000 tonnes of 2021/22 US soybean oil prior to its opening. According to China’s National Grain and Oil Information Center, soy product inventories fell last week due to increased demand for feed and preparations for the Spring Festival holidays.
Corn was more expensive for commercial and technical purchases. Corn is also monitoring the situation in South America, but export sales were the highest in the marketing year, following Mexico’s largest one-day purchase ever. Overall, sales are slower than expected, but they are partially offset by strong ethanol demand. China continues to favor Ukrainian corn over the United States. AgRural has lowered its outlook for Brazilian corn crops by 1.1 million tonnes to 114.4 million tonnes due to recent dry weather in southern Brazil. Brazil’s second most important corn crop, the largest of the three, is planted after soybeans are harvested. According to the Buenos Aires Grain Exchange, 39.5% of Argentine corn is harvested. Citing France’s record yields, Strategie Grains estimates the European Union’s corn production in 2021/22 to be 68.3 million tonnes, 500,000 tonnes more than a month ago. .. Ethanol futures did not change.
Wheat complexes were higher in commercial and technical purchases. The complex bought back some of Wednesday’s decline, primarily with the help of a marketing year with high export sales to Mexico and Japan. A little above the midpoint of 2021/22, wheat sales are below 2020/21 despite tight global supply and Russian export tariffs. Most forecasts indicate that the plains of the southwestern United States remain dry, which can have some impact on the bright red winters. This is compared to recent rainfall in the eastern south, northwestern United States, and eastern Midwest. Strategie Grains forecasts the European Union’s 2021/22 soft wheat production to be 129.3 million tonnes, compared to 129.4 million tonnes in November, with exports outside the block to 30.4 million tonnes last month. On the other hand, it was 31.5 million tons. The Buenos Aires Grain Exchange continues to harvest Argentina’s wheat yields of 21 million tonnes, a record. Australian wheat harvests are also underway and there are concerns about quality due to the recent heavy rains.
Soy, Corn and Wheat Rebounds-Brownfield Ag News
https://brownfieldagnews.com/market-news/soybeans-corn-wheat-rebound/ Soy, Corn and Wheat Rebounds-Brownfield Ag News