April 8, 2011
 

US corn and soy affected by poor export figures

US corn futures fell US$0.04 per bushel for May and July delivery Thursday (Apr 7) on the Chicago Mercantile Exchange due to poor export figures, closing at US$7.59 and US$7.66 per bushel respectively.

Soy dropped as well, falling US$0.13 per bushel for May delivery to US$13.63 and US$0.10 per bushel for July to US$13.65.

Trading happened after the USDA reported what was said to be a disappointing export report for the week ended March 31 showing confirmed export sales of 620,000 tonnes against trade approximations of as much as 950,000 tonnes.

Soy sales were even further off the estimated figure, at 76,000 tonnes as compared to expectations of as much as 400,000 tonnes.

"The soy numbers actually were the bigger disappointment," said an analyst.

The analyst said of corn, "the picture is mixed, because the latest numbers for both ethanol and livestock feed use are up."

Arlan Suderman of Farm Futures Magazine repeated the disappointed feeling, but added "it is important to remember that this morning's report covered the week ending March 31, which was the day of USDA's bullish stocks and acreage reports. We will not know until next Thursday (Apr 14) how export customers reacted to the reports and the subsequent price rise."

The USDA will issue its monthly supply and demand report yesterday (7 Apr). Traders forecast the so-called ending stocks prediction for September 1 to come in at below 600 million bushels, down more than 1.1 billion bushels from the same time last year.