Even though China recently announced they were going to hold off on buying U.S. grain, the country made some purchases last week that highlighted the latest U.S. Weekly Export Sales Report.
Commodities Broker Greg McBride with Allendale broke down the latest U.S. Export Sales data with the Iowa Agribusiness Radio Network Thursday morning.
“We’ve weakened up a little bit on these corn exports from what we were seeing a few weeks ago, but they are still solid,” McBride said. “We do need to see here over the next few weeks some more new crop. Otherwise, we’ll feel like we are getting behind.”
McBride says China once again decided to come in a make purchases.
“We did have an 8 o’clock flash sale of 120,000 tons,” McBride said. “Half for new and half for old. Even after (China) has said they would halt new purchases from the United States, they are coming in and buying it. A lot of that has to do with price. It doesn’t matter if Brazil is a favored nation for them right now. We have a better price and that is why they are coming to us.”
The U.S. continues to see decent old crop sales for corn, lower sales for new crop corn, and a balance of new and old crop in soybeans – according to McBride. His latest advice for Iowa producers is to keep an eye on upcoming weather forecasts.
“We have some issues where it looks like it will be hot and dry,” McBride said. “Now, they did change that little bit over the last couple of days. If that heat and dryness goes into July, that could impact us on that early planted corn in pollination across Iowa, Illinois, and Nebraska.”
The next U.S. Export Sales Report will be released on Thursday, June 11th. McBride’s full interview with the Iowa Agribusiness Radio Network can be found below.