IARN — Once again this week, soybean sales led the bulk of the US Export Sales Report released Thursday morning.
Allendale commodity broker Greg McBride describes the latest weekly USDA report as neutral. Soybean sales came in shy of a million metric tons but were within the range of estimates.
“Weekly exports were well within the range of estimates,” said McBride. “We saw 373,000 tons of corn sold. That was in the middle of the range at the lower end of it. On the bean side of things, 903,000 tons which was in the upper end of the range. We were looking for 1.1 MMT. Wheat was inside the range at 356,000 tons, so nothing to get overly excited about this week.”
“These are still a little bit concerning,” he continued, “as far as new crop sales for corn. The beans, we knew we had a couple cancellations late last week that played into these numbers. That is something to keep an eye on.”
McBride explains that export sales haven’t really impacted grain markets over the last several weeks.
“A lot of times we’ll see a little bit of movement based off of what happened on those sales,” said McBride. “It’s not necessarily on the open. It’s as we close out the overnight session. They don’t seem to have a huge impact just yet because we have been seeing decent sales for soybeans. Even though the frequency is there, the volume is not necessarily that great, but we made a lot of early sales that have helped to keep us where we should be at this time. The biggest thing to remember is that in order to have the USDA come in and make any changes to their balance sheet when it comes to exports, we need to see these export sales come in pretty heavy and we’re just not there yet.”
The next U.S. Export Sales Report will be released on Thursday, September 30th.
Story courtesy of the Iowa Agribusiness Radio Network.
Photo courtesy of Pixabay Creative Commons
