Markets bounced back nicely yesterday after testing technical support and are slightly higher to start this morning. The arctic blast of cold weather descending upon the central and eastern US over the next week is supporting prices in the energy sector, with crude oil breaching $56 and heating oil $1.70. Reminder– the much-anticipated USDA monthly supply/demand report is next Tuesday, at 11am. Exports and resulting ending stocks will be the main feature of that report.
Weekly export sales came out this morning and were expectedly large on corn, with the two large Chinese purchases announced last week included in the numbers. Corn sales were 292.8Mln bu, soybeans at 30.0Mln bu. That is a new record high on weekly corn sales. Of those total weekly sales, China accounted for 78% of the corn and 73% of the beans. Their activity level will likely decrease later this month as China celebrates their new year’s festival the last 2-3 weeks of February.
Corn: up 2-4c
Beans: up 2-4c