Market News
Corn, soybeans close mixed on export rumors
Soybeans closed the Thursday trading session mixed. For the second straight day there were no new sales to China or unknown destinations, but there are rumors of Chinese new-crop soybean purchases in the amount of almost nine million bushels. DTN says the rumors are made more believable because the U.S. holds a 45-to-50-cent price discount to Brazil. U.S. trade representative Robert Lighthizer said China plans to fulfill phase-one trade obligations. Storms moved across the Dakotas, Minnesota and northwest Iowa Thursday, and much of the central Midwest could be in line for rain over the next ten days.
Corn closed mixed after being fully higher at one point in the Thursday session. Export rumors include possible Chinese interest in U.S. ethanol as well as soybeans. There’s also strength from higher ethanol production, although it is 22 percent behind a year ago. Corn exports are lagging expectations. DTN says there’s a better chance for rain in the next ten days, while rain fell Thursday across the Dakotas and Minnesota. The central U.S. is expected to be wetter and cooler into early July.
Wheat was lower again in Chicago and Kansas City, pressured by good Southern Plains harvest weather. Spring wheat was higher in Minneapolis. DTN said, however, that rain is expected over hard red winter wheat areas the next five days and over soft red winter wheat areas early next week. That could interrupt harvest progress but should not be a significant problem. Kansas Wheat said yields are reported at 55 to 65 bushels to the acre and test weights are good. In their analysis, Allendale said Russia’s wheat crop estimates range from 75 to 78 million metric tons. Welcome rain fell on the wheat growing areas of Europe, the Black Sea, Ukraine and central Russia.
