China rumors looming over corn market

Corn: Rumors that China had bought corn were circulating around on Monday. Here are the facts as we see them right now: Between last week and Monday morning, we have seen 232,000 tonnes of exports to “unknown.” If there were sales to China, those are the most likely targets. Other talk has been that those exports were instead going to South Korea. Rumors that were going around Monday suggest that China may have bought as much as 600,000 tonnes. Let’s keep in mind that the U.S. Department of Agriculture has not confirmed even a single bushel has gone to China as of yet. For now, we will have to accept these rumors as untrue unless proven otherwise…Ryan Ettner

Soybeans: Beans traded both sides of unchanged before settling 1/2 cent higher in May and 11 higher for November on Monday. The biggest reason for the higher close was contributed to the higher close in corn…Steve Georgy

Wheat: After last week’s volatile trade, the wheat market came under some profit-taking pressure today. New news to trade was limited on Monday. Wheat inspections came in at 25.749. The trade was looking for the inspections to come in between 20 and 29 million bushels. Iraq has issued a tender to purchases around 100,000 tonnes of wheat. We will be watching to see how much of this tender we will get…Jim McCormick

Ryan Ettner is a registered commodities broker and grains analyst at Allendale, Inc. Steve Georgy is a Sr. Broker/Manager at Allendale, Inc. Jim McCormick is a Sr. Broker at Allendale, Inc. Allendale is registered with the CFTC and NFA and is a member of the NIBA. www.allendale-inc.com.

About the Author

Ryan Ettner is a registered commodities broker and grains analyst at Allendale, Inc. Steve Georgy is a Sr. Broker/Manager at Allendale, Inc. Jim McCormick is Senior Broker/Manager at Allendale, Inc. Allendale is registered with the CFTC and NFA and is a member of the NIBA. www.allendale-inc.com

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