It was another tough day for traders as soybean prices slumped hard in Chicago.
Markets were also under pressure on news that Mexico had rejected rumors that the country and the United States had completed a handshake deal on NAFTA. Mexican officials said Wednesday that no deal would transpire without Canada’s participation.
Soybean Prices Slump Hard
November soybean prices cratered 16.25 cents to end the day just above $8.70 per bushel. The January 2019 contracts shed 15.5 cents to close just above $8.83.
A selloff came as doubts emerged about upcoming trade discussions between the U.S. and China.
Trade concerns complemented updates from the Pro Farmer Tour, which has shown stronger-than-expected pod counts across Nebraska and Indiana.
Corn Prices Go in Reverse
December corn contracts were off 7.5 cents on the day. The December corn contract finished the day just under $3.67. The March 2019 contract shed 7.25 cents to close at $3.79.
Corn traders also reacted negatively to The Pro Farmer Crop Tour. Yesterday, the numbers showed big yield expectations in Nebraska and Indiana. Nebraska yields averaged 179.2 bushels per acre. Indiana numbers came in at 182.3 bushels per acre. Both figures were well above recent averages for these states.
Tomorrow, the USDA will release its weekly export numbers. Analysts expect that the USDA will report exports between 35.4 million and 59.1 million bushel.
Be sure to check back for a full recap on exports at Farmlead.com.
Wheat Prices Dip in Chicago
SRW contracts for December dropped 2.5 cents to close the day a tick above $5.45 per bushel. The March contract shed 2.75 cents to finished at $5.685.
In Kansas City, the December HRW contract dropped 5 cents to end the day at $5.5725 per bushel. The March 2019 contract dropped by a similar amount on the day.
Markets were digesting news from French consultancy Agritel. The group suggested today that Russia’s exports could decline year-over-year by 25%. The firm projects that 2018/19 wheat exports will come in at 1.157 billion bushels.
The agency also projected that French soft wheat exports will come in at 293.9 million bushels. The group also projected that year-over-year production will fall by 6.5% to hit 1.257 billion bushels.
Spring wheat prices in Minneapolis also fell Wednesday. The December MGEX contract shed 2.75 cents to close at $6.035 per bushel.
Tomorrow, the USDA will release its weekly export numbers. Analysts anticipate that the agency will report between 35.4 million and 59.1 million bushels for the week ending August 16.
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