USDA Agricultural Outlook Forum shows lower soybean acreage

In the overnight session corn traded down a penny, soybeans increased 5 cents and wheat fell 1 ¼ cents by the pause in trading. Corn is currently trading at $3.82 which is right on its 100 day moving average. Soybeans 100 day moving average hangs over prices at $10.07.

The USDA Ag Outlook Forum begins today and continues through Friday the 20th. Traders were watching the release of acreage estimates this morning which showed corn at 89 million acres planted from 90.6 million acres planted last year. The USDA projected soybean acres at 83.5 million acres from 83.7 million acres planted in 2015. Soybean acres were a bit of a surprise to traders who were expecting acreage to increase year over year. Informa’s latest soybean acreage forecast for 2015 was 88.03. Planted acreage for U.S. wheat estimated to decline 1.3 million acres.

Egypt canceled a tender for U.S. wheat on Wednesday citing that prices were exaggerated after Cargill, Bunge, Ameropa and Invivo made offers for 60,000 metric tons of soft red winter wheat. Egypt stated that it had hoped to buy American wheat but will now seek other origins with better prices. GASC then issued a tender for 55,000-60,000 metric tons and opened the tender global suppliers.

—Cody Bills