Grain exports end 2020 on high note
The newest grain export sales report from the USDA for the week ending on December 24 shows that 2020 is ending on a positive note.
Soybean export sales for the 2020-2021 crop surpassed analyst expectations. The trade was looking for sales ranging between 7–25 million bushels. However, the new figure passed those estimates as sales jumped 74 percent from the previous week to 33.7 million bushels. Export sales cancellations also rose 23 percent to 7.9 million bushels. However, a Farm Futures article says that’s not surprising because a recent run-up in the price of soybeans likely caused some price resistance among smaller buyers.
Weekly export sales for 2020-2021 corn also surpassed market expectations in last week’s report. Forecasters were looking in a range of 19-39 million bushels, but USDA reported a 55 percent increase in week-over-week sales to 43.1 million bushels. Rallying corn prices caused cancellations to increase to 5.1 million bushels.
Wheat sales weren’t as strong as those of corn and soybeans. However, they were strong because of a weaker dollar and limited exportable supplies in the Black Sea region. The weekly total was up one-third from the previous week to 19.2 million bushels.