Friday, 13 January 2023

CORN AND SOY CLOSE WITH DOUBLE-DIGIT GAINS | THURSDAY, JANUARY 12, 2023

By Cassidy Walter, 1/12/2023


At the close, March corn is up 16¢ to $6.72 a bushel.

March soybeans are up 26¢ to $15.19 a bushel.

CBOT wheat closed up 4¢. KC wheat closed up 12¢. Minneapolis wheat is up 13¢.

Live cattle are down 18¢. Lean hogs are down 45¢. Feeder cattle are down $1.25.

CORN AND SOY FUTURES SURGE ON USDA NEWS: 

Following the release of the January World Agricultural Supply and Demand Estimates (WASDE), Annual Crop Production, and Quarterly Grain Stocks reports, corn shot up roughly 20¢. It is currently up 14¢ to $6.70 a bushel.

Soybeans peaked around $15.21 about half an hour after the reports came out. Currently soybeans are up 25¢ to $15.18 a bushel.

CBOT wheat is up 2¢. KC wheat is up 14¢. Minneapolis wheat is up 15¢.

The reports were bullish for corn and soybeans, finding the 2022 harvest was smaller than traders expected and therefore ending stocks were also smaller.

Live cattle are down 45¢. Lean hogs are down 60¢. Feeder cattle are down $1.28.

The U.S. Dollar Index is at 101.9.

SOYBEANS ABOVE $15 AHEAD OF USDA REPORTS: 

This morning, corn is down 2¢ while soybeans are up 12¢.

CBOT wheat is down 7¢. KC wheat is down 4¢. Minneapolis wheat is up 2¢.

Live cattle are down 33¢. Lean hogs are down 45¢. Feeder cattle are down 53¢. READ MORE: Brazil crop in good condition, consultancy says ahead of national survey

At 11 a.m. CT, USDA is releasing the Annual Crop Production, January WASDE, and Quarterly Grain Stocks reports.

Bob Linneman with Kluis Commodity Advisors says traders are expecting USDA to report yields slightly higher and decreased exports. He says winter wheat seedings are expected to be at a seven-year high at a time when the winter wheat crop condition ratings are the poorest since the 1970s.

Linneman also says U.S. ending stocks are anticipated to rise for corn, soybeans, and wheat, and South American data should reflect production declines in Argentina and increases in Brazil.

Also out this morning is the weekly exports report. Net corn sales were at 255,700 metric tons for 2022-2023, down 20% from the previous week and 62% from the prior 4-week average. The trade's expectation for corn exports was between 300,000 and 1 million metric tons.

Net soybean sales were at 717,400 metric tons for 2022-2023, down 1% from the previous week and 41% from the prior 4-week average. This was within the trade's expectation range of 500,000 and 1.2 million tons.


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