China made big corn purchases from the U.S. four days in a row, adding up to 153 million bushels. But that didn't do much to move the markets, AgweekTV's Michelle Rook said.
"It was a little disappointing," Randy Martinson of Martinson Ag Risk Management told Rook on this week's Agweek Market Wrap, sponsored by Gateway Building Systems.
Martinson said he continues to believe that the U.S. Department of Agriculture has underestimated demand for U.S. corn. Right now, Argentina is the cheapest corn source, yet China still has come to the U.S. to fill its needs.
Rook said the best bet may be to "watch what China does, not what they say."
To watch previous episodes of the Agweek Market Wrap, click here.
Soybeans closed up slightly, which Martinson and Rook both felt was positive. There have been few export sales lately of U.S. soybeans, and the weather has improved in South America, so closing even a little higher is a good thing.
The market is expecting to see a big number in soybean acres on the Prospective Plantings report at the end of the month. That report could move markets for a number of crops.
Wheat closed lower across the board, largely on the news of improving weather for areas with a lot of winter wheat. Martinson said spring wheat prices will have to improve to get acres.
The Cattle on Feed report came out on Friday, and Martinson called it "slightly friendly." Marketings were slightly better than expected, which should help give the market some needed strength.
Slaughter weights and numbers were down, and Martinson said everyone is expecting demand to build in the second quarter.
"Hopefully we can see that cattle market turn," he said.
Meanwhile, the hog markets closed up for at least the eighth week in a row, and Rook said hogs are getting "close to 2014 levels." Martinson said there still is room for the hog market to improve, but it's getting near its top.
March 20, 2021 at 05:34AM
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Big China purchases don't do a lot for corn markets - AG Week
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