April 24, 2014
Morning Price Trends
Corn: Up 1 to 2
Soybeans: Down 1 to 4-1/2
Wheat: Up 8 to 10
Note: Farm Futures Senior Editor Bob Burdorfer will be filling in for Bryce Knorr this week.
Corn futures turned higher Thursday after being lower overnight as forecasts for rain in the Midwest through early next week may further delay spring planting.
Soybean futures were lower as that market continued to be pressured by reports of imports from South America and likely cancellations by China.
Wheat futures held strong gains early on Thursday as much of the parched southern Plains was missed by recent rain, while Kansas received some showers.
Corn was higher Thursday morning as pressure from the overnight profit taking subsided.
Forecasts for significant rain in the Midwest through the weekend added to concerns of additional delays in planting. As of Sunday, 6% of the crop was planted, which was behind the 14% average pace.
"Showers will continue to scatter across the corn belt into Friday, bring patchy totals of mostly .25 to 1" to at least 1/2 of the belt. However, the most extensive rain occurs from Sunday to Thursday next week, particularly Monday/Tuesday. Amounts of 1 to 3 inches will be fairly common, with locally heavier totals," Commodity Weather Group said on Thursday.
A five-day dry period will follow those showers, before more rain develops, CWG said.
"Planting will run behind normal, but severe wetness issues appear unlikely," CWG said.
What to Look For – Clear skies that will aid planting. Weekly exports are due later Thursday morning.
Soybeans continue to be pressured by reports that Brazilian soybeans and Argentina soymeal will be imported to the United States.
The incoming Brazilian beans were originally destined for China. The switch has increased concerns that China will be cancelling more cargoes due credit and low prices there.
The South American soybean harvest should advance amid mostly dry weather this week.
Palm oil was higher in Malaysia ahead of updated export data due on Friday. European rapeseed was lower.
What to Look For – News on imports. Soybean planting should start this week, with USDA set to add soybean planting progress to next week's crop progress reports. Weekly exports on Thursday.
Winter wheat traded higher for the third straight session as rain fell in parts of Kansas recently, but missed much of the southern Plains.
Winter wheat's condition stabilized in the latest crop progress reports, with 5% rated excellent, 29% good, 33% fair, 20% poor and 13% very poor. A week ago, the percentages were 4%, 30%, 34%, 20%, and 12%, respectively.
A crop tour of hard red winter wheat fields will be under way next week locally heavier totals to assess drought stress on the crop as well as possible damage from last week's frost.
Jordan is tendering to buy 150,000 tonnes of optional-origin wheat and 150,000 tonnes of barley and Morocco bought 30,000 tonnes of Polish wheat, Reuters reported.
What to Look For - Commodity Weather Group said recent rains mostly fell in Kansas and Nebraska.
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