IARN — We saw another round of solid numbers on the weekly US Export Sales Report that was released Thursday morning.
Commodities broker Greg McBride with Allendale says export sales have been very positive for a long stretch of weeks. He credits a lot of that movement to continued purchases from China.
“Weekly exports this week were good once again,” McBride said. “Bullish on the corn side of things, well above the average guess at 1.83 million metric tons. Beans at 2.2 MMT were actually inside of the range, but still very good. We continue to see strong sales to China and that’s going to continue to help bolster these high prices that we’re seeing right now. Wheat, meal, and oil were on the neutral to slightly friendly side of things. Nothing here to get upset about from the weekly perspective.”
Overall, McBride says corn sales was the biggest story in this week’s report as they were up noticeably from the previous week and up 21 percent from the prior four-week average.
“There were roughly equal purchases to Japan, Mexico, and China for corn this week,” McBride said. “That looks really good for us. We need to continue to see those (corn) sales to China. We’ve heard big numbers possible as far as rumors for Chinese corn purchases, but we need to see those numbers come through before the market gives up on seeing them.”
Wheat exports were neutral at 367,500 metric tons – down 31 percent from the previous week and 23 percent from the prior four-week average – while soybean oil net sales came in at 37,000 metric tons, primarily to China at 11,000 metric tons.
The next US Export Sales Report will be released on Thursday, October 29th.
Story courtesy of the Iowa Agribusiness Radio Network
