Export sales: marketing-year lows for corn, soybeans

There was little positive data to be found in USDA’s latest weekly export sales report, out Wednesday morning and covering the week through December 17. Wheat sales dropped 34% below the prior four-week average, and corn and soybeans slumped to marketing-year lows. However, other supply and demand fundamentals are so strong, traders shrugged off the disappointing news and continued a round of technical buying today that kept grain prices in the green.

Corn export sales fell 66% lower week-over-week and 59% below the prior four-week average, to 25.6 million bushels (a marketing-year low). That was on the low end of trade estimates, which ranged between 23.6 million and 39.4 million bushels. Unknown destinations led the way, with 7.1 million bushels. Cumulative totals for the 2020/21 marketing year are still substantially higher than last year’s pace, with 507.4 million bushels.

Corn export shipments were better, but still slid 8% below the prior four-week average to 32.9 million bushels. China was the No. 1 destination, with 10.7 million bushels. Japan, Mexico, Panama and Taiwan rounded out the top five.

Sorghum export sales spilled 75% below the prior four-week average, to 2.5 million bushels. Sorghum export shipments were 22% off the prior four-week average, with 5.1 million bushels. China accounted for all of both export sales and shipments this past week.

Old crop soybean export sales also fell to a marketing-year low last week, dropping to 13.0 million bushels. New crop sales added another 6.1 million bushels, for a total tally of 19.1 million bushels. Analysts were expecting better results, with average trade guesses ranging between 20.2 million and 31.2 million bushels. Cumulative totals for the 2020/21 marketing year are still far ahead of last year’s pace, with 1.282 billion bushels.

Soybean export shipments were just 1% below the prior four-week average, meantime, with 92.5 million bushels. China again accounted for more than half of that total, with 50.5 million bushels. Egypt, Mexico, the Netherlands and Japan filled out the top five.

Wheat export shipments were for 13.5 million bushels, jumping 54% higher week-over-week but still 8% below the prior four-week average. Mexico was the No. 1 destination, with 3.0 million bushels. China, South Korea, Taiwan and Japan rounded out the top five.

FarmProgress

Tags: market reports, soybeans, exports, corn, grain handling, trade