Corn Surpassed USDA Weekly Export Sales Expectations

(AgWeb) –  In the overnight session the grains are trading unchanged to higher with corn up ¾ of a cent, soybeans up ¾ of a cent, Chicago wheat up 2 ¾ cents and KC Wheat up 3 ¼ cents this morning.

Chicago wheat was able to break through both the 20 and 50 day moving average and is now at the recent high January 3rd.

Soybeans trade action during yesterday’s session could be seen as concerning after it was unable to hold onto it intra-day gains and closed near the days open.

The March soybean contract briefly traded above $10.00 before closing at 9.91 ¼.

Yesterday the Argentinian Agricultural Ministry revised their corn plantings estimate from 8.8 million hectares to 8.7 million hectares in their latest crop report.

Soybean plantings were also revised to 16.75 million hectares, down from 16.8 million last month.

The revisions were made after dryness throughout Argentina delayed plantings and in some cases prevented planting altogether. Concerns are now that the dryness in central and southern Argentina will damage yield potential.

South Africa is also expecting to see plantings lowered due to hot and dry conditions in the western part of its growing region.

The country’s Crop Estimates Committee is expected to revise its corn acreage forecast from 2.629 million hectares to 2.159 million acres.

The western part of South Africa’s growing region produces a large amount of white corn.

Wheat sales were reported at 427,200 metric tons which was an improvement from the previous week and meeting trade expectations.

Corn sales were reported at 1,445,900 metric tons which was down 22 percent from the previous week but above the trade expectations.

Soybean sales only reported 616,300 metric tons which was below expectations and down 50 percent from the previous week.