Beans: 1 to 2 lower
Good Morning –
The corn market closed lower yesterday with the May 1/4 lower at $3.31 1/2. Total world fuel demand is down roughly 30% from last year and the market had little response to the announcement of crude oil production cuts by OPEC+ over the weekend. US corn has become the cheapest feedgrain in the world with export sales showing a demand shift from the Black Sea region and Argentina. The first weekly planting progress report was released yesterday showing US corn planting at 3% vs 3% last year with 4% the average. With an unknown recovery date for the US economy weather for planting will likely become the focus for traders.
The soybean market also closed lower yesterday with the May 9 1/4 lower at $8.54 1/4. US livestock prices and feed margins, along with the weakness in bean oil pressuring the market as the soybean continue to trade lower this morning. US export inspection were up last week, however they are below the 25.7 mil bu/week that exports will need to average through the end of August in order to reach the USDA’s 1.775 bil bus export projection.