Grains were modestly higher overnight but the recovery felt fairly anemic following Monday’s sell-off.
Monday after the close USDA reported that 47% of the corn crop had been planted. That was up from last week’s tally of 34% and above trade expectations at 44% but below the 52% normal pace for this time of the year. Soy planting came in at 14% planted vs 16% expected. The U.S. winter wheat crop was rated 53% good to excellent, down from 54% the previous week but above expectations for 51%.
France’s ag ministry pegged corn plantings at 1.39 million hectares down 2.3% from last year and 14.5% below the recent 5-year average. Dry and cold spring conditions along with persistent drought in the past two seasons have limited farmer sowing there.
The Taiwan Flour Millers' Association purchased 95,750 MT of milling wheat to be sourced from the United States in a tender which closed on Tuesday. Japan in its usual tender bought 138,000 MT of wheat of which 76,000 MT was of US origin.
On Wednesday, USDA will release their first look at 2017/18 balance sheets. Traders look for a modest drop in wheat and corn carry-outs compared to the current marketing year but soy stocks are expected to build.
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