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Wheat and soybeans can stretch the rally

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Wheat and soybeans can stretch the rally

Soybeans were reasonably expensive for commercial and technical purchases. While watching the American harvest and planting in South America, the beans are still seeing some follow-through support. CONAB raised Brazil’s outlook to just over 142 million tonnes, up 3.4% from a year ago, but below the current USDA estimate of 144 million tonnes. Most short-term forecasts show rain in parts of Argentina, but the long-term outlook for South America is uncertain due to La Niña. Weekly export sales are out on Friday morning, delayed by Veterans Day, and trade closely monitors sales and shipment totals. There are talks of China buying US beans this week, but it hasn’t been confirmed. Soybean meal rose with commercial support, but soybean oil was mixed and hardened.

Corn was largely vulnerable to spread trading and profit taking after a solid start of the session. Corn is monitoring US harvesting activity and may be delayed until next week in some areas. Ethanol demand remains a supporter, but export sales are slower than expected. CONAB has increased estimates of Brazil’s corn production, which is highly dependent on the fare of the second crop. The production of the first crop was 28.601 million tons, an increase of 15.7% from last year, the production of the second crop was 86.256 million tons, an increase of 42%, and the total production was 116.172 million tons, an increase of 34.1%. To do. The success of the second crop depends on several factors, including soybean harvest rate, fertilizer availability, and La Niña. USDA’s current total production is 118 million tonnes. Ethanol futures did not change.

Wheat complexes were higher on commercial and technical purchases, with Chicago and Kansas City hit new highs in December. Tight supply in the United States and the world continues to be a major bullish factor for wheat. Some parts of the Midwestern United States are too moist, but drought is a concern in the US Plains. This includes both bright red winter crops in southern Planes and white winters in northwestern Planes. Wheat for milling in Paris hit a record high ahead of the US session. Trade is also monitoring the situation prior to dormancy in Europe, Russia and Ukraine, along with pre-harvest weather in Argentina and Australia. According to a report from Russia, Moscow plans to set an export quota for grain in the second half of the marketing year on February 15.NS, These restrictions will be enforced until the end of June. Brazil allows imports of GMO flour from Argentina, but supply and demand are uncertain. According to DTN, Japan is bidding on 157,987 tonnes of wheat from the United States, Canada and Australia.



Wheat and soybeans can stretch the rally

https://brownfieldagnews.com/market-news/wheat-soybeans-able-to-extend-rally/ Wheat and soybeans can stretch the rally

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