Chicago Closes Higher After USDA Report

09/12/16 -- Beans closed higher despite a USDA report that pegged 2016/17 US soybean ending stocks unchanged at 480 million bushels versus the 474 million expected. World carryout showed an increase from 81.3 MMT to 82.9 MMT. They USDA put Brazil at 102 MMT and left Argentina at 57.0 MMT. They also announced the sale of 132,000 MT of US soybeans to unknown destinations overnight. Jan 17 Soybeans settled at $10.37 1/2, up 10 1/2 cents; Mar 17 Soybeans settled at $10.48 1/2, up 10 3/4 cents; Dec 16 Soybean Meal settled at $317.40, up $5.00; Dec 16 Soybean Oil settled at 36.74, down 31 points.

Corn: Corn closed closed higher as the USDA report came and went with hardly a blink. They left 2016/17 US ending stocks unchanged at 2.403 billion bushels. They raised world production by more than 9 MMT to almost 1040 MMT. Brazil was up 3 MMT, China up 3.5 MMT and Russia was raised by 1 MMT. World exports were raised 2 MMT to 141.7 MMT, with Brazil up 1 MMT to 22 MMT and Russia up 600,000 MT to 5.3 MMT. Taiwan were said to have bought 65 TMT of probably US corn overnight. Israel bought 95 TMT of Black Sea corn for Feb/April shipment. The Argentine corn crop is said to be 48% planted. Dec 16 Corn settled at $3.52 1/2, up 6 cents; Mar 17 Corn settled at $3.59 1/2, up 6 cents.

Wheat: The wheat market closed with net gains on all three exchanges. The USDA left projected US wheat ending stocks unaltered at 1.143 billion bushels. They raised global and Australian production in 2016/17 to new records. Russian production was seen unchanged at 72 MMT, exports were lowered 1.0 MMT to 29.0 MMT due to slower-than-expected trade. World carryout was seen at an alt-time high of over 252 MMT. SovEcon boosted their estimate for Russia's total grain harvest by 1.5 MMT to 114 MMT. Argentine wheat is said to be 40.7% harvested. US winter wheat weather is starting to raise a few eyebrows with lows below zero over the next 7-10 days with accompanying gale force winds. Dec 16 CBOT Wheat settled at $4.00 1/4, up 9 1/2 cents; Dec 16 KCBT Wheat settled at $3.95 1/2, up 8 1/2 cents; Dec 16 MGEX Wheat settled at $5.36, up 1/4 cent.