The corn market traded sharply higher on the day with the September contract acting as the upside leader.
Heavy rainfall for areas of Northern IL, IA, and MO has kept planters sidelined with more showers on the way in the 5 day forecast. Anywhere from 3-6 inches was recorded for various areas with flooding expected.
Prevent plant insurance dates are approaching which could leave a significant portion of the total intended acreage unplanted. Many areas of the Dakotas, east of IL and the southeast/delta region welcomed the rainfall but accumulation was much lighter than in the west.
Cash markets have been on the defensive in IA and NE as producers picked up their old crop sales pace but bids continue to hold at historically high levels. Export inspections for the week ending May 23rd were estimated at 12.43 million bushels, down from 14.56 the week prior.
Shipments needed each week to hit the USDA estimate are at 15.3 million, up from 15.15 the week prior. The cumulative shipment pace is sitting at 70.5% of the USDA export estimate which is in line with the 5 year average pace.
The market is looking for planting progress to come in near 86% complete in this afternoon's report, up 15% from a week earlier.
July Rice finished down 0.395 at 15.32, 0.45 off the high and equal to the low.
Soy Futures Closed Higher
July Soybeans finished up 33 at 1509 1/4, 19 1/4 off the high and 36 3/4 up from the low. November Soybeans closed up 40 1/4 at 1288. This was 38 1/2 up from the low and 1 off the high.
July Soymeal closed up 14.1 at 442.3. This was 13.9 up from the low and 5.1 off the high.
July Soybean Oil finished up 0.3 at 49.54, 0.41 off the high and 0.29 up from the low.
The soybean market started the session with only marginal gains but by midday the July contract pushed to new highs and ended the day up over 30 cents.
November soybeans traded to their highest level since February 22nd. Domestic and Gulf of Mexico cash markets continued their decline today as supply pipelines seem to be in much better shape as hedged bushels come to market and producer sales pick up.
Export inspections failed to show any progress week over week with shipments totaling 3.38 million bushels, up slightly from the week prior. Shipments needed each week are estimated at 6.03 million bushels, up from 5.86 the week prior.
The cumulative shipment pace is estimated at 93.5% for the 2012/13 marketing year as compared with the 5 year average of 87%.
The USDA announced this morning that US private exporters sold 120,000 tonnes of soybeans to China for the 2013/14 marketing year. The market is looking for planting progress to come in near 42% in this afternoon' report, up from 24% a week earlier.
Wheat Futures Closed Lower
July Wheat finished down 3 3/4 at 693 3/4, 11 1/4 off the high and 6 up from the low. December Wheat closed down 1/4 at 717 3/4. This was 6 3/4 up from the low and 9 off the high.
Wheat futures traded lower for most of the session today with a significant amount of selling showing up at the midpoint of the day.
European wheat futures finished the day slightly higher as traders monitor weather conditions both in the US and internationally. France is expected to see additional rainfall throughout this week with temperatures slightly below seasonal levels.
Traders noted that conditions remain favorable in Germany and France but the UK continues to struggle. Southeastern Australia will see additional rainfall this week and the forecast for the Black Sea is trending wetter for next week which is critical to the crops production potential.
Export inspections failed to impress the bulls with 21.22 million bushels shipped as of the week ending May 28th, about unchanged from the week prior.
Shipments needed each week to hit the USDA forecast are estimated at 29.2 million bushels per week. The cumulative shipment pace is 96% of the USDA export estimate vs. the 5 year average of 95%.
July Oats closed up 1 1/4 at 366 1/4. This was 3 3/4 up from the low and 2 1/4 off the high.
