The corn market found a little support this morning with export sales data above the average trade estimate. Last week US corn sales were reported at 32.6 mln bu bringing the yearly total to 1.084 bln bushels or 75% of the USDA export forecast. This morning the USDA announced 2 new corn sales, one to an unknown destination of 127 kmt and one to Korea of 130 kmt. Funds have been buyers of corn the past couple of days, taking profits before they close the books on the year which has helped drive corn prices higher.
Weather in Argentina looks better with weather models improving the chances for rain over the next 10 days while the hot spell that is currently setting in isn’t expected to last quite as long as initially indicated. Export sales data was rather disappointing for the soybean complex coming in at 15.3 mln bushels after sales to unknown destinations were cancelled. The market is stuck between concerns of Chinese cancellations and South American weather that is changing by the day.
Outside markets were mixed with crude higher while the dollar and equities also traded higher. Yesterday the Fed announced they will begin to reduce their bond buying program. The dollar has rallied on this news driving the DOW to all-time highs. Some of yesterday’s sell off was partially attributed to fund money moving from commodities to equities.
Kyle Lehman
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