August 3, 2017
Producer Marketing Manager
CORN: As of 7:45 – Down 4
Lower overnight on rains…..and for more precip in the 7 day forecast, as shown below. Export sales numbers out this morning were pretty dismal, even next year’s sales were at the low end of the range. As a follow-up to yesterday’s graphic on Brazilian corn export pace, comments came from a Japanese buyer suggesting the amount of Brazilian corn imports could quadruple to 800K tonnes is a little more concerning to US exports. Showing the US is $4-5/ton more expensive than Brazilian offers in the Oct/Nov slot…..would equate to roughly 10-12 cents/bu.
SOYBEANS: As of 7:45 – Down 14
The bean market was down overnight as forecasts are calling for cooler temps and abundant precip for much of first part of August. The market is taking this as very favorable for better soybean production. It is all about the forecasts and rain gauge reports. Export sales were in the middle of the range of expectations at 8.6 million bushels for this marketing year. Next year’s sales number was in the middle of the range at 13.5 million bushels sold.
WHEAT: As of 7:45 – MPLS Down 8, KC Down 5
It was a choppy day in the wheat markets yesterday as initial gains tied to row crop strength faded and we traded lower for much of the session. The weakness in the US dollar has lent to some flat price support….it is trading at its lowest level since May 2016. Private estimates are coming out of Russia and pegging their crop at 74-77MMT, which would be a record. Wheat export sales were a measly 5.3 million bushels…..less than last week’s 18.3 number.