Corn sales for the week ending February 14th were reported at 44.9 million bushels. This is 22 percent more than a week ago and well above the 18.9 million bushels needed on a weekly basis to reach USDA projections. Pre-report estimates were in a range of 17.7 to 39.4 million bushels. Shipments continued strong this week at 55.6 million bushels. More than enough to stay on pace to reach USDA projections of 2.45 billion bushels. This report should be considered bullish to the trade.
Soybean sales were 92 percent better than the previous week at 23.2 million bushels. Pre-report estimates were in a range of 16.5 to 36.7 million bushels. All sales this week were for old crop beans and well above the 3.7 need this week to reach USDA projections of 1.005 billion bushels. Shipments also continue to be more than what is needed on a weekly basis to reach expected estimates by a large amount. Therefore, this report will be considered bullish to the trade.
Wheat sales came in at 3.7 million bushels, which is 22 percent more than last weeks 3.0 million bushels. This was less than the pre-report estimated range of 9.2 to 22.0 million bushels. Normally you would think this should be considered bearish by the trade, on the contrary, this week's sales remain enough to stay on pace to reach the higher revised sales projection in the latest USDA supply and demand report that was released two weeks ago. Looking at the breakdown of classes of wheat sold, Hard Red Winter (HRW) sales were reported at 158.7 million bushels, Hard Red Spring (HRS) had sales of 19.9 million bushels with a reduction in sales of 83.6 million bushels of Soft Red Winter (SRW). Adding more fuel to this already volatile situation is the fact that shipments of 22.4 million bushels are also more than enough to keep pace with these new USDA estimates. Both sales and shipments are showing no signs of any rationing at this point! Therefore, trade will view this report as bullish to the wheat trade to finish out the week.
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