Grain > Commentary > 11-7-2022

11/7/2022

Nov 07, 2022

11/7/2022
The market was defensive and went risk-off to start the week after China flip-flopped on their announcement from last week about loosening up of Covid protocols.  Two days out from our November WASDE report, the market is leaning towards a larger supply and smaller demand for corn.  Soybeans were pressured on what the China Covid protocols possibly mean for U.S. soy demand.  U.S. weekly export inspections were excellent for soybeans at 2.591 million tonnes, hanging with some of our best numbers over the past seven years.  Soybean export shipment pace falls short of the USDA target by 73 million bushels compared to 89 million bushels the previous week.  This gap should continue to narrow.  Corn inspections disappointed with 231k tonnes inspected for shipment.  This was the lowest total for this week over the past seven marketing years.  We should start to see an upswing in corn inspections going into the second half of November.  Have sell orders working on Wednesday to capture potential price spikes following our WASDE report.

outlook.png

Read More News

5/12/2025
May 12, 2025
News broke Sunday that the USA and China have agreed to ease tensions and lower tariffs.  The US is lowering tariffs on Chinese goods from 145% to 30%.  China is lowering their import tariffs from 125% to 10%.  Talks will resume in the coming weeks.  This news had stocks, grains and oil higher overnight. Then of course we had a USDA grain report come out at 11:00 this morning.  That was also a bit friendly.
3/31/2025
Mar 31, 2025
USDA reported corn planting acres at 95.326 million acres of corn, which would be up a little more than 5% from 2024's final number and the second highest March figure of the last ten years behind only 2020's estimate of 96.99 mil acres.  US corn stocks as of March 1st were seen at 81.51 billion bushels, which was exactly what the trade had expected and was down just over 2% from March 1 of 2024.  USDA said farmers intended to plant 83.495 million acres of soybeans, which would be down about 4% from last year and was just a hair smaller than what the trade was looking for.  March 1 soybean stocks were pegged at 1.91 billion bu's, which again was nearly exactly as the trade had expected, and was up 3.5% compared to March 1, 2024.
3/11/2025
Mar 11, 2025
The monthly USDA WASDE report was today and it was about as boring as it can get.  The USDA took the month off leaving corn and beans carryouts unchanged.  Corn remains at 1.540 billion bushels and beans at 380 million bushels.  World ending stocks were slightly lowered on both corn and beans.  World corn was pegged at 288.94 million tonnes vs 290.3 million tonnes previously.  World beans were pegged at 121.4 million tonnes vs 124.3 million tonnes previously.  All of the South American crop production estimates were also left unchanged.