Agriculture News
Corn and soybean basis continues to strengthen as harvest winds down.
Grain markets faced pressure overnight and are trading near session lows this morning as the war escalation concerns that fueled gains late Tuesday have eased.
Wheat futures led overnight price declines in the grain markets on hopes of an extension to the Black Sea grain export deal.
Both crops are still rated below their respective five-year averages, especially HRW.
Weekly export inspections for week ended Nov. 10 showed soybean inspections missing expectations by over 142 MMT, with wheat also short nearly 24 MMT. Corn inspections were notable at 484 MMT, near top end expectations.
Corn and soybean futures were pressured by outside markets and a surge in Chinese Covid cases. Wheat futures traded mixed overnight.
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USDA’s long-term baselines include the initial projections for 2023-24.
Soy complex futures led a wave of strong corrective buying overnight on support from outside markets and stronger risk appetite as China eased its Covid regulations.
Quarterly bank survey finds strong financial condition but rising interest rates and drought are cause for concern.
USDA estimates the drought footprint covers 74% of winter wheat acres.
Weekly export sales for week ended Nov. 3 proved corn export sales remain week, missing low-end expectations by nearly 35 MT, while soybeans, wheat fell on the low-end of the range for the week.
Corn and soybean futures are lower and near their session lows this morning after two-side trade overnight. Wheat futures are mixed.
Soybean basis rises sharply as export demand picks up.
Wheat futures had the sharpest price reaction to the data. Soybeans initially traded lower but quickly bounced back.
USDA’s Nov. WASDE and production updates yielded increases in corn and bean production; however, corn carryout fell short of expectations while soybean carryout was pegged 8 million bu. higher than the average estimate.
Corn, soybeans and wheat swung to both sides of unchanged in a lightly traded overnight session but are mostly weaker this morning.
Corn, soybeans and wheat favored the downside in quiet, two-sided trade overnight, though seller interest has picked up early this morning with futures trading near session lows.