Futures markets are holding to losses ahead of the pit open in Chicago, following weekly sales numbers that were mostly disappointing. USDA released its regular Thursday totals for the previous week today due to the Columbus Day holiday on Monday.
Buyers continue to shun new purchases of U.S. corn, with net new bookings totally just 600,000 bushels. Most of the purchases were switched from deals previously disclosed as going towards "unknown destinations," keeping the net total at a minimum. USDA cut its forecast for total marketing year exports by 100 million bushels in yesterday's report.
There was one interesting purchase, however: China bought another 2.25 million bushels, though it cancelled another load of 2.5 million. USDA kept its forecast for China to produce a record 7.875 billion bushel crop this year, limiting imports to 78.75 million bushels. China has already purchased or shipped 55% of that forecast from the U.S.
Soybean sales of 19.2 million bushels in the latest week including 8.3 million bushels to China, and the total for the week exceeded the pace forecast by USDA for the rest of the marketing year. While the government raised its forecast of sales by 210 million bushels yesterday, already 70% of that new total has been sold or shipped. Still, the trade was looking for even bigger sales, causing beans to lose ground after the report came out at 7:30 today.
Wheat sales remain lackluster, despite tightening world supplies. USDA lowered its forecast of marketing year exports by 50 million bushels due to the slow pace of sales and shipments, and that trend continued in today's report. Net new bookings for the week came in at only 10.3 million bushels, with shipments of 14.1 million bushels also lacking the needed pace to reach USDA's new forecast for the marketing year. Most of the deals continue to be for small amounts to regular customers, as the U.S. has been shut out of the lucrative market in North Africa and the Middle East.