Corn Slides Amid Concerns Over Demand
Corn for December delivery fell 1.4% to $3.53 and 3/4 a bushel on the Chicago Board of Trade on Thursday, as exports data came in within expectations. Wheat for December delivery fell 0.9% to $5.53 and 1/4 a bushel Soybeans for November delivery rose 0.4% to $9.66 a bushel.
Grain markets wobbled after the USDA's exports report for the week ended Aug. 27 came in toward the high end of expectations. The USDA reported sales of 2.4 million metric tons of corn for 2020-21, and 1.8 million metric tons of soy. The results represent a 64.6% increase on corn exports from the previous week, and an 8.4% drop for soybeans. Traders surveyed by WSJ had expected exports between 1.5 million and 2.7 million for corn and 1 million and 1.8 million for soy. Net exports of wheat were down 23%, but up 4% over the four-week average, to 585,400 metric tons, within the forecast range of 350,00 to 600,000.
Campbell Sees Demand Tempering in Coming Quarters -- 3rd Update
Campbell Soup Co. said demand for its soups and other foods is moderating after a monthslong surge fueled by consumers eating at home during the pandemic.
Campbell said Thursday that comparable sales for its latest quarter rose 12% from the year before -- lower than the 17% quarterly growth it posted in June.
China To Keep Buying US Soy -- Market Talk
08:39 ET - Soybeans extend gains ahead of today's session, in hopes of ongoing Chinese demand, even as Brazil pushes a record crop. "China has been actively securing US soybeans since late June and has booked around 20M metric tons," AgResource says, adding the Brazilians have produced 82M metric tons. The firm estimates that Chinese importers will procure up to 8M metric tons of additional US soybeans, meeting the USDA export forecast. Soybeans rise 0.5% pre-market. (firstname.lastname@example.org; @ptrevisani)
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Instacart Forays Into Convenience Stores -- Market Talk
1400 GMT - Grocery delivery company Instacart Inc. continues to grow its footprint. The company says it is partnering with 7-Eleven Inc. to offer delivery. The deal represents Instacart's foray into convenience stores, beyond its core focus of grocery stores. Instacart will initially deliver from around 750 7-Eleven stores, but plans to expand the service to more than 7,000 7-Eleven locations in the U.S. Instacart has generated sales growth during the coronavirus pandemic, as more consumers order groceries online. (email@example.com; @_jaewonkang)
Mondelez Tightens Palm-Oil Supplier Rules
Mondelez International Inc. said it has tightened sourcing practices around palm oil, the ingredient used in various foods that has been linked for years to deforestation of tropical forests.
The maker of Oreo cookies, Triscuit crackers and other snacks on Thursday said its suppliers of palm oil must demonstrate they can trace materials back to palm farms and have in place satellite monitoring covering palm concessions that feed mills that produce oil for the company.
Egypt Buys 55,000 Tons of Russian Wheat -- Update
Egypt bought 55,000 metric tons of Russian wheat at an international tender on Thursday, according to traders.
The single cargo cost Egypt's state grain buyer, the General Authority for Supply Commodities, $225 per metric ton, with an additional $15.50 per ton for freight costs.
The purchase was significantly smaller than at previous tenders with analysts suggesting that GASC was reluctant to buy more with the prices offered sharply higher than in recent weeks.
Hogs Rally, Cattle Falls on Demand Concerns -- Market Talk
15:09 ET - Livestock prices run in opposite directions, as traders consider the US hogs herd to be getting back to normal levels while cattle remain in oversupply. Lean hog futures close up 5.1%, at 59.25 cents a pound, a level not seen since May. The rally comes after the USDA reported a higher-than-expected 36% increase in weekly exports. Demand could also get a boost from the National Pork Month promotion to be held in October, according to Allendale's Rich Nelson. Cattle, in turn, falls 0.5% as feedlots remain more populated than usual. (firstname.lastname@example.org; @ptrevisani)