The market was all a buzz this morning on talks that China has interest in buying up to $30 billion in US goods (including soybeans). The Ag markets saw a bounce off yesterday’s lows. More winter storms are expected for the US Midwest over the weekend and next week. On a happier note, Daylight Savings Time is March 9th.
The corn market bounced higher in sympathy with the wheat and soybeans. Hope for Chinese corn purchases emerged after this morning’s news on China. Despite what is thought to be friendly news, the March remains trapped in a 10-cent trading range.
The soybean market bounced higher, recovering from yesterday’s losses on talk of China looking to possibly buy additional US soybeans. Prices garnered additional support from an expected 4.0 million reduction in US soybean acreage this year. The BA Grain Exchange pegs the Argentine bean crop at 53.0 mmt and is rated at 87% G/E.
The USDA Outlook Forum estimated the 2019-20 corn acreage at 92.0 million acres.The USDA Outlook Forum estimated the 2019-20 corn acreage at 92.0 million acres.
The USDA Outlook Forum estimated the 2019-20 soybean acreage at 85.0 million acres. This compares to trade estimates at 86.0 million and last year at 89.0 million acres.