December 21, 2017
Grain Marketing Specialist
The first day of winter!!!
Corn finding some support on short coverings as we progress into the Christmas holiday. Ethanol numbers were down last week from 1.089 million barrels to 1.077 barrels per day, but still good. Ethanol inventories also slipped from 22.4 million barrels to 22.3 million barrels. These numbers will provide good support for corn. Export sales, reported this morning, were at 61.4 million bushels. Total year sales to date are at 997 million bushels, or 26% less than this time last year. Weekly shipments were at 27.6 million bushels, putting total year to date shipments at 373.2 million bushels. This is 36% behind this time last year. South America is still expecting a good crop, and weather forecasts promote good rain chances. Overall the corn is still bearish, but may see some small jumps here in there as we get closer to the end of the year.
Soybeans: 1 – 2 lower
Soybeans started out higher, yesterday, but just can’t seem to build any upward momentum. We found a new low at $9.51 January futures. South American weather forecasts continue to be the only news traders are concerned about, and all of that is bearish for the US. Export sales, reported this morning, were at 64.8 million bushels. Year to date sales are at 1.453 billion bushels. This is 16% less than this time last year. Weekly shipments were at 56.6 million bushels, with total shipments, for the marketing year, coming in at 949.5 million bushels. This is 13% behind this time last year.
Kansas City wheat managed to find a few cents, yesterday, on cool temp fears, coupled with drought conditions. Export sales, for all wheat, were reported this morning at 30.6 million bushels. This puts total marketing year sales at 693.4 million bushels or 7% behind this time last year. Weekly shipments were at 21.2 million bushels, with total shipments for the marketing year at 474.5 million bushels. This is 7% behind this time last year. USDA is still expecting a 1-billion-bushel carryout for 2017/18. World ending stocks are predicted to be higher as well.