Grains are mixed to head into the weekend:
Corn -2 ¾ cents/bu (Mar @ 5.31 1/2)
Soybeans -13 ¾ cents/bu (Mar @ 14.16 3/4)
Chi Wheat +5 ½ cents/bu (Mar @ 6.75 1/2)
Cdn $ -0.000570 (78.58 cents)
WTI Crude Oil -1.21/barrel (52.36)
The NOPA report was released earlier today and showed that 185.159 million bushels of soybeans were used in December. This is the second highest monthly amount ever, and it is up 5% year over year. Although a significant amount, the trade was expecting 185.175 million bushels, resulting in lower soybean prices to close.
For 2020, 2.082 billion bushels of soybeans were crushed, up from the 2018 record of 1.971 billion bushels.
The USDA announced a pair of flash sale this morning:
-110,000 tonnes of corn to Mexico for 2020/21 delivery
-318,000 tonnes of soybeans to unknown in 2021/22
A soybean purchase of this size in January for the next marketing year is very uncommon. Due to the size of the purchase and historical data, it is assumed that this is a China purchase. Although it is always reassuring for demand when the trade has active purchasing, that alone was not enough to push soybeans and corn into the positives.
Markets are closed on Monday as the U.S. observes Martin Luther King Jr. Day.
Funds are expected to be mixed, with corn expecting to have sold 5,000 contracts (long 385,184), soybeans to have sold 8,000 contracts (long 148,541), and wheat to have bought 4,000 contracts (long 19,000). All funds on Tuesday the 12th were shorter than expected, soybeans having the biggest difference between estimated and actual of 52,000 contracts.
Starting January 18th, 2021, Wanstead Co-op will be having reduced hours at all locations until further notice. The branches will be open from 8-4 to help you!