Weekly Market Wrap-Up

This week began after a long weekend off with mixed and lower price action as the trade is continuing to analyze the phase one trade deal that was signed at the end of last week, the impact of which is still very uncertain despite announcement of corn sales to China. Export inspections for corn were off 140 thousand metric tons, soybeans were up 50 thousand metric tons, and wheat down about 130 thousand metric tons compared to last week’s report.

Wednesday’s trade saw more follow-thru for wheat amid global cash markets firm up and fund buying pushing values to their highest level in over a year. The trade is still awaiting news of Chinese sales and is poised to make moves for corn in addition to wheat based on confirmation of these sales.

Thursday started quiet as the market awaits more trade news, however it appears that corn has become more attractive as of late based on economic competitiveness against soybeans originated from South America. On the day, corn scored a better than two-month high on the March contract at the close.

Friday saw some price reversal early as the market awaits more confirmation of Chinese purchases. Export sales released Friday morning appeared positive overall with net sales for wheat up 7%, corn up 28%, and soybeans up 23% against the previous week. Increases in soybeans were primarily into China. Given this information however, confirmation of loadings will be needed which will be reported in Monday’s export inspections.

March corn opened the week at $3.89 and closed at $3.8725 a 2-cent decrease for the week.

March soybeans opened the week at $9.30 and closed at $9.02, an 28-cent decrease for the week.

March wheat opened the week at $5.725 and closed at $5.735, a 1-cent increase for the week.

Stay tuned to andersonsgrain.com for additional commodity market information