In the February WASDE report, Brazil’s soybean production estimate was raised to 180.0 mt, with global soybean ending stocks also increased to 125.51 mt. Corn exports were raised to 3,300 bb, reducing ending stocks to 2.127 bb. Global corn ending stocks were lowered to 288.98 mt.

President Trump’s mention of additional Chinese soybean purchases caused a rally in the market. China is considering buying an additional 8 mt after already completing a 12 mt target. Despite strong charts, Brazil’s record crop and competitive prices may impact future US soybean purchases.

Corn prices have been stuck after a sell-off post-January report, with limited upside and downside. Export demand remains solid, with a straddle selling strategy suggested. Soybean oil prices have rallied, offering potential trading opportunities. For account openings or brokerage changes, contact Hans Schmit at 312-765-7311.

Read more at Barchart: Walsh Corn & Soybean Opportunities