Updated on 4/26/2018
Grains mixed this morning with beans higher by 5 ½ cents. Corn is off ½ a cent and wheat is lower by 3 ½ cents.
Weekly export sales were expected to be large but were a disappointment.
Funds were net buyers of 15,000 corn contracts, 6,000 soybeans, 10,500 wheat and 5,000 soymeal on Wednesday.
USDA attaché sees Brazil 2018/19 soybean output at 115 million tonnes, the second largest crop on record.
Buyers from China have not signed any new agreements to buy U.S. beans in the last two weeks, trade fearing further trade restrictions from Beijing.
The market remains optimistic that the U.S./China sorghum trade spat will be resolved sooner than later as vessels now load for alternate destinations.
Chart of the Day
Total DOE fuel ethanol production fell sharply for a second straight week, to 985k bpd for the week ending 4/20; that was after a 25k bpd drop the week prior, but it still leaves output roughly in the range of last year’s numbers throughout the month of April. Cumulative output through right at about one-third of the 2017/18 corn marketing year fell to 1.043 mln bpd, 23/25k bpd ahead of last year’s pace/final; that’s likely just a hair shy of the USDA’s YoY corn use for ethanol estimate if output matches LY through Sept 1.