Soyoil Surges On EPA News
23/11/16 -- Soycomplex: Beans closed higher in pre-Thanksgiving trade as soyoil surged following the decision by the EPA to raise the biofuels requirements to 19.28 billion gallons for 2017 versus 18.11 billion this year. Strong Chinese crush margins and the weak Chinese yuan added support. The prospect of another record Brazilian crop down the line caps gains though. Rabobank forecast US soybean prices of $10.70/bushel this spring. Funds were estimated as finishing net buyers of 3,000 lots of soybeans on the day. Jan 17 Soybeans closed at $10.34 1/4, up 4 1/4 cents; Mar 17 Soybeans closed at $10.43, up 4 1/4 cents; Dec 16 Soybean Meal closed at $316.40, down $8.50; Dec 16 Soybean Oil closed at 36.85, up 237 points.
Corn: The market closed with little change heading into the holiday. Markets are closed tomorrow for Thanksgiving and trade will be thin on Friday. The US Energy Dept reported daily ethanol production last week was 1.014 million barrels, down 3,000 bpd on the previous week. South Korea's KOCOPIA are in the market for 50,000 MT of optional origin corn for March shipment. South Africa are forecasting corn plantings up 35% this year following drought reduced sowings a year ago. In Russia, where corn harvesting is ongoing, the Ag Ministry reported things at 78.8% complete for a crop of 13.1 MMT to date. Dec 16 Corn closed at $3.50 3/4, down 1/4 cent; Mar 17 Corn closed at $3.59 1/4, up 1/4 cent.
Wheat: The wheat market ended mixed but mostly lower. The Indonesia Ag Ministry is aiming for no corn imports in 2017, as a drive towards achieving self-sufficiency. They could import 35% more feed wheat as a result it is thought. Jordan cancelled their tender for 100,000 MT of optional origin hard wheat and immediately re-tendered for the same. Bangladesh are said to have agreed to buy 200,000 MT of Russian wheat. Japan bought 20,300 MT of feed wheat of optional origin for December shipment. Rabobank forecast CBOT wheat prices in the final quarter of 2017 at $4.60/bushel. Dec 16 CBOT Wheat closed at $4.01 1/2, down 5 3/4 cents; Dec 16 KCBT Wheat closed at $4.15 1/2, down 1 cent; Dec 16 MGEX Wheat closed at $5.27 1/4, up 1/4 cent.
