Another round of losses for soybeans and corn in the US

Published 2023년 1월 5일

Tridge summary

Soybeans experienced a decline due to fund and technical selling, but the anticipated record production in Brazil could offset losses from dry regions in Brazil and Argentina. The Argentinean soybean crop is also suffering, with 8% in good to excellent condition, a decrease from the previous week. Corn prices were also affected by fund and technical selling, along with the stronger dollar. Demand for corn is slow, with ethanol use declining due to tighter margins and lower prices. The wheat market ended the session mixed, with slow export demand and improved drought conditions in U.S. winter wheat growing areas, but the Black Sea region remains a concern due to ongoing conflict and insurance difficulties.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Soybeans were lower on fund and technical selling, in addition to higher trade in the dollar. Brazil is expected to produce a record crop, which could cancel out losses in dry southern growing areas of that nation and Argentina. The Buenos Aires Grain Exchange reports 8% of Argentina’s soybean crop is in good to excellent condition, 2% less than a week ago, with 82% of the crop planted, slower than normal. CONAB’s updated outlook for Brazil is scheduled for Thursday, January 12th. That’s the same day as a slew of USDA numbers: the monthly supply and demand report, quarterly grain stocks, and the preliminary 2022 U.S. soybean and corn production totals, in addition to the usual weekly export sales report. This week’s export sales numbers are out Friday, January 6th, delayed a day by Monday’s holiday. Sustained demand from China is a concern because of rising COVID rates. Export demand is solid and crush margins remain in bullish territory. Soybean meal was mixed on bull spreading, ...

Source: Brownfield Ag