Corn: 1 to 2 higher
Beans: 5 to 6 higher
Corn closed higher last week, by 3 to 6 cents for the week, after the USDA’s WASDE report. This was based on a reduction of yield and production, as well as increased demand. This pushed the 2020/21 ending stocks 400 million bushels lower than the October report, and more than 300 million below the average estimate of industry traders. Part of the increased demand is due to China buying more U.S. corn. Overnight, the market was a little higher again with thoughts that we will be seeing Chinese purchases increase soon.
Soybeans gained more than 45 cents last week. Reductions, in the WASDE, to yield and production led to smaller ending stocks. They are now estimating 190 million to remain at the end of August, compared with 290 million in the October report, and an average of 235 million from the traders estimates. There were no changes to demand in this months report. We continue to see concerns about South American production due to the weather forecasts. That, and optimism for continued strong purchases by China fueled a higher overnight trade.
We continue to believe that the rally we’ve seen over the past 30 days is a selling opportunity. If we’re not quite at the level you are trying to achieve, please let us know your target(s) and we can put in an offer for you. This can be for Old Crop or New Crop. Just contact your local Landus facility.