Grains closed the week on a down note, with soybeans and corn leading the decline. Soybeans hit fresh lows, with November contracts falling 1 3/4 cents to $12.61 1/4, marking a weekly loss of nearly 31 cents. Matt Bennett of AgMarket attributed the drop to fund liquidation after key support levels were breached and harvest pressure as farmers sold directly from the field. He noted that soybeans were likely being sold more aggressively than corn due to expectations of a record U.S. crop and potential yield increases in the November USDA report.
The soybean market also faced pressure from a lower-than-expected NOPA crush figure of 196.3 million bushels for September, though Bennett expects a rebound in October as processing plants secure new supplies. Additionally, favorable planting conditions in Brazil and a record crop forecast of 181.6 million metric tons by Conab weighed on prices. Despite fresh export demand, including a flash sale of 29.2 million bushels to China, the market struggled to find support.
Corn also ended lower, with December contracts down 3 3/4 cents at $4.74 1/4, extending a three-week loss of 54 cents. Bennett highlighted the market's struggle to digest the additional 400 million bushels of supply added by USDA in recent reports, despite anecdotal reports of lower yields due to nitrogen loss. Strong basis levels and tight spreads suggested a smaller crop than USDA projections, but export lag and China's lack of interest in U.S. corn added to the bearish sentiment.
Wheat futures also hit new lows, pressured by spillover from lower corn and soybeans, as well as poor weekly exports of just 11.8 million bushels. Bennett noted frustration in the wheat market as global buyers delayed purchases, expecting supplies from the Black Sea region to eventually become available.