Markets - General
USDA’s October Crop Production and WASDE reports caused the soybean markets to tank Tuesday. One analyst says he thinks USDA’s soybean could could continue to rise as soybean demand shows signs of trouble.
USDA’s October report shows U.S. corn and soybean crops are larger than what USDA forecast in September, but the biggest question came to soybean demand. Soybean prices were down double digits after the report.
CBOT soybean futures slumped on Monday, as traders jockeyed for position on what is shaping up to be a large U.S. harvest and ahead of a U.S. production forecast this week that is expected to be bearish.
Recent moisture in the Plains combined with quota talk in Russia, is helping continue the bullish outlook for wheat. DuWayne Bosse of Bolt Marketing thinks both winter and spring wheat acres are set to rise.
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China said on Saturday it pressed the United States to eliminate tariffs in talks between the countries’ top trade officials that Washington saw as a test of bilateral engagement between the world’s biggest economies.
Despite slowdowns in the export sales picture, actual exports are still running 26% ahead of the same time period last year, and with higher commodity prices, bulk export values are up 60%. USDA says that’s led by corn.
Ahead of USDA’s October reports next week, debate continued on just how big of a U.S. corn crop is being harvested right now. University of Illinois economists weighed in during the U.S. Farm Report College Roadshow.
On Tuesday, Oct. 12, USDA will release its monthly Crop Production and World Agricultural Supply and Demand Estimates. Gulke Group’s Jamie Wasemiller will be watching several factors in that round of report.
The questions of if fundamentals really matter anymore have surfaced recently. A look at price discovery for HRSW gives some insight.