Compared to last week, cash bids for wheat, corn, sorghum, and soybeans were higher. The White House avoided another tariff battle this week with Europe agreeing to buy more soybeans and liquid natural gas. While this is helpful, there is still no progress on the tariff front with China. The International Grains Council increased its 2018-19 world soybean production estimate from 358 to 359 million metric tons (mmt) Thursday and also increased the world ending stocks estimate from 41 to 44 mmt. USDA said last week’s export sales and shipments of soybeans totaled 19.8 mb and 30.3 mb respectively, a neutral amount for the week. New-crop soybean sales totaled 35.4 mb. On Thursday, the International Grains Council posted even more bullish estimates for world corn, expecting ending stocks of the world’s top four corn exporters to total 49 mmt, down 25 percent from a year ago and less than USDA’s ending stocks estimate of 56 mmt. USDA said last week’s export sales and shipments of corn for 2017-18 totaled 13.3 million bushels (mb) and 50.5 mb respectively, a bearish combination for the week that is aiming 200 mb below USDA’s export estimate of 2.4 billion bushels (bb). The International Grains Council said Thursday it expects ending wheat stocks in the top eight exporting countries to be down 25 percent in 2018-19. They also expect world wheat production to be down 5 percent in 2018-19. USDA said last week’s export sales and shipments of wheat totaled 14.2 mb and 15.0 mb respectively. The sales showed modest improvement from the previous week, but both numbers are well below USDA’s anticipated pace for 2018-19. Wheat was 10 to 56 cents higher. Corn was 2 1/4 to 15 1/4 cents higher. Sorghum was 18 to 27 cents higher. Soybeans were 4 1/4 to 20 1/4 cents higher.
Source: USDA-MO Dept of Ag Market News Service, St. Joseph, Mo.