Exports: Both corn and soybeans tumble
According to the USDA’s latest U.S. Export Sales report, corn net sales of 92,200 MT for the 2012-2013 marketing year were down 67 percent from last week and 59 percent from the 4-week average.
Increases reported for China (110,000 MT, including 120,000 MT switched from unknown destinations and decreases of 11,000 MT), Japan (86,000 MT, including 39,800 MT switched from unknown destinations and decreases of 1,500 MT), Mexico (53,500 MT, including 34,100 MT switched from unknown destinations and decrease of 1,000 MT), Brazil (27,500 MT), and Taiwan (8,200 MT), were partially offset by decreases for unknown destinations (178,800 MT)Panama (10,400 MT), and the Leeward Windward Islands (9,700 MT).
Net sales of 183,300 MT for the 2013/2014 marketing year were primarily for unknown destinations (110,000 MT) and China (67,000 MT). Exports of 418,500 MT were up 3 percent from the previous week and 26 percent from the prior 4-week average. The primary destinations were Japan (137,100 MT), Mexico (118,500 MT), China (109,000 MT), Guatemala (15,200 MT), and Taiwan (12,400 MT).
Optional Origin Sales: For MY 2012/2013, optional origin sales totaling 200 MT were reported for South Korea. Optional origin sales totaling 3,200 MT for South Korea were exercised to export from other than the United States. Outstanding optional origin sales total 132,000 MT, all South Korea. For MY 2013/2014, outstanding optional origin sales total 30,000 MT, all Mexico.
After rising on Tuesday, corn futures were able to sustain their upward momentum on Wednesday, supported by recent talks to a tightening domestic supply. Overnight futures were set back after reaching 6-week highs on Wednesday. May corn dipped 2.25 cents to $7.3025/bushel in overnight trading, while December edged 0.5 cent lower to $5.665.
The report also showed that soybean net sales of 107,800 MT for the 2012/2013 marketing year were down 84 percent from the previous week and 71 percent from the prior 4-week average. Increases were reported for China (127,300 MT, including 60,000 MT switched from Hong Kong), Mexico (38,000 MT), Taiwan (27,000 MT), Indonesia (22,500 MT), Vietnam (15,200 MT), and Morocco (12,000 MT). Decreases were reported for unknown destinations (93,000 MT) and Hong Kong (60,000 MT). Net sales of 234,000 MT for delivery in the 2013/2014 marketing year were primarily for China (225,000 MT). Exports of 226,800 MT were down 70 percent from the previous week and 74 percent from the prior 4-week average. The primary destinations were China (77,500 MT), Indonesia (31,500 MT), Mexico (29,200 MT), Taiwan (26,900 MT), Egypt (19,800 MT), Vietnam (8,800 MT), and Cuba (8,800 MT).