Corn Futures Gain as More Chinese Buying Expected
Corn for December delivery rose 0.7% to $3.39 3/4 a bushel on the Chicago Board of Trade on Friday, with grains traders remaining optimistic that China would buy more U.S. grain in the coming weeks. Soybeans for November delivery rose 0.5% to $8.95 a bushel. Wheat for September delivery fell 0.1% to $5.34 3/4 a bushel.
The USDA confirmed a new large purchase of soybeans by China on Friday, stating that 126,000 metric tons of soybeans have been sold for delivery in the 2020/21 marketing year. While the confirmation didn't spark outright excitement in grains trading, it did provide support for CBOT futures as traders hope for more to come. "Corn and soybean prices are again supported by China import rumors today, although gains are limited by a lack of confidence that buying will be enough to offset large surpluses expected, with the weather forecast seen as generally favorable for crops," said Arlan Suderman of StoneX.
Brazil Soybean Planted Area Will Expand 1.8% in 2020-2021 Season -- Market Talk
14:20 ET - Brazilian farmers will increase the area they plant with soybeans in the 2020-2021 growing season by 1.8% from the recently finished season, according to agricultural consultant Safras & Mercado. The area planted will reach a record 37.8M hectares, the group said. It would be the 14th consecutive year that the area planted increased from the previous year, and the 12th consecutive record. Farmers will begin planting in September in some areas, and if productivity is good, the harvest could reach a record 131.7M metric tons of soybeans, Safras said. (email@example.com)
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Farmers Struggling With Volatile Market -- Market Talk
12:27 ET - Many US farmers have received their coronavirus aid payments and are getting favorable rainfall to help grow their crops -- but they are still concerned about market volatility and commodity prices going forward. "We're having difficult conversations at the breakfast table," says Melanie Tietz, a corn and soybeans farmer in Decorah, Iowa. According to Tietz, current upheaval in the market makes it difficult to plan ahead. Tietz says her farm is currently growing 75% corn, in reaction to issues with weeds in soybean fields. (firstname.lastname@example.org; @kirkmaltais)
Fiesta Restaurant Group Trading Higher Friday
Shares of Fiesta Restaurant Group Inc. are trading higher Friday, continuing the trend from Thursday's after-hours market, which also saw the stock move higher.
After the bell Thursday, the company said it was seeing "significant sequential improvement in comparable restaurant sales trend" extending through the first two weeks of this month, and also said it increased its cash balance by $26.5 million in the second quarter to $101.6 million.
Covid-19 in South America Support Cattle Futures -- Market Talk
15:50 ET - The spread of Covid-19 in South America is expected to benefit demand for US beef, says Karl Setzer of AgriVisor. "The US beef industry has the potential to see elevated exports in the near future," Setzer says. "Covid-19 continues to run rampant in South America and has affected those country's ability to safely process livestock. While Brazil is showing little concern over this issue, Argentina has voluntarily shut down packing plants where the virus has been found." Live cattle futures on the CME finished unchanged Friday, at $1.03275 per pound, while lean hog futures finished trading down 1.6% at 52.8 cents per pound. (email@example.com; @kirkmaltais)