At the close:
The March corn futures contract settled 1 1/4 cents lower at $4.43. The March soybean futures contract finished 6 cents lower at $13.25. March wheat futures ended 7 cents higher at $5.84 per bushel. The March soymeal futures contract ended $2.50 per short ton lower at $444.20. The March soyoil futures ended $0.17 higher at $38.73.
In the outside markets, the NYMEX crude oil is $0.15 per barrel higher, the dollar is lower and the Dow Jones Industrials are 49 points lower.
Mike
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At mid-session:
The March corn futures contract is trading 2 cents higher at $4.46. The March soybean futures contract is 5 1/4 cents lower at $13.26. March wheat futures are 8 1/2 cents higher at $5.86 per bushel. The March soymeal futures contract is trading $3.20 per short ton lower at $443.20. The March soyoil futures are trading $0.30 higher at $38.86.
In the outside markets, the NYMEX crude oil is $0.42 per barrel higher, the dollar is lower and the Dow Jones Industrials are 19 points lower.
Mike
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REPORT REACTION:
--Sal Gilbertie, Teucrium Trading, says today’s WASE report surprised some market players with the reduction of United States ending corn inventories by 150 million bushels due solely to increased expectation of corn exports from the US. "The increase in year on year usage estimates for both course grain and oilseeds continues to reflect both good oilseed import demand from China as well as steady and even increasing grain demand from the rest of the world. Demand expectations for U.S. wheat are also raised as foreign sources of wheat become less competitive. Overall the report sets a starting baseline for corn supplies in the 2014-15 growing season slightly below what the trade had anticipated while confirming quite healthy global demand for all grains and oilseeds."
--Jack Scoville, PRICE Futures Group vice-president, says "USDA does not want to move SBS ending stocks estimates below 150 unless they have to. That means we better stall out the demand soon. But, USDA took the increased export demand out of additional imports and residual. Kind of a bookkeeping thing but not the headline bullish number they were looking for. I think that is the reason we are selling off. Better weather in South America and ideas of bigger production in the coming year from the outlook conference might mean we are near a top. Plus no stops up near the 1340 march are when we went there, not super bullish
Corn and wheat had the bullish demand and ending stocks estimates. It is not so much that the demand went up and the ending stocks went down, but the magnitude. The 150 mm bushel change is a shock especially for wheat where our competition is said to be so strong. Reflecting the brazil demand and maybe some switching in demand from Canada. The corn data I think implies that prices got cheap enough plus with all of the Arg and Ukraine problems we can do lots of fill in business. So I look for beans to lose to grains over time," Scoville says.
--Dustin Johnson, eHedger.com analyst says, "The US numbers were the biggest report surprise. The USDA is projecting corn carryout below 1.5 billion this year and that caused a rally to new highs in 2014. The increase of 150 million bushels in export demand is something that could change before the year is over but for now many traders are looking at this report for direction. This is one of the largest increases to export demand in February WASDE history.
Soybean exports were up 15 million bushels but residual was down 10 and imports were up 5. Exports were expected to be higher and there was a lot of air under the market. Even though this was viewed as bearish the tug of war between large South American production and tight US supplies will likely continue into summer.
Surprisingly wheat was well under estimates after a sharp increase to exports. Wheat has been the weakest product on the board and has a lot of air above the market to retrace it's recent losses," Johnson says.
--"USDA raised corn exports by 150 million bushels dropping ending stocks to 1.481 billion bushels. The US soybean balance sheet was left the same but saw a hike of .5 MMT in SA production. Still untouched though is the feed number which still towers over 2012/13 usage by 22%. This has yet to be addressed," Mike North, Senior Risk Advisor for First Capital Ag.
Mike
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At 11am:
USDA Says:
Corn stocks= 1.481 billion bushels
Soybean stocks= 150 million bushels
Wheat stocks= 558 million bushels
NO BEAN CHANGE! WOW!!!
U.S. Exports:
Corn= raised up from 1.45 billion bushels to 1.60 billion.
Soybeans= Raised 15.0 million bushels. Soybean imports bumped up 5.0 million to 35.0 million.
Corn is trading higher on this report.
Mike
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At the open:
The March corn futures contract is trading 1/2 of a cent lower at $4.43. The March soybean futures contract is 3 1/2 cents higher at $13.35. March wheat futures are 1 1/2 cents higher at $5.79 per bushel. The March soymeal futures contract is trading $1.30 per short ton lower at $447.70. The March soyoil futures are trading $0.42 higher at $38.98.
In the outside markets, the Brent crude oil is $1.66 per barrel lower, the dollar is lower and the Dow Jones Industrials are 1 points lower.
Mike
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At 7:42am:
Early calls: Corn is seen 1-2 cents lower, soybeans 1-2 cents higher, and wheat 1-2 cents lower.
Trackers:
Overnight grain, soybean markets=Trading mostly lower.
Brent Crude Oil=$1.66 per barrel lower.
Dollar=Lower.
Wall Street=Seen lower.
World Markets=Asia/Pacific stocks were mixed-to-lower, Europe stocks lower.
More in a minute,
Mike
- it's too early in the year to change anything..we could have a gazillion bushels booked for export and "nothing to figure", i'm speculating is Mr. Menzies take.