Rapid U.S. Export Sales Pace

CHICAGO - Oct 6/06 - SNS -- International agriculture commodity markets are finishing the week on a relatively quiet note, with little "big" business in the news overnight. Interestingly, weekly trade data from the USDA makes it clear overall business is moving at a rapid pace.

The USDA's weekly export sales tally for U.S. wheat came in at 419,800 metric tons (MT), which was within trade expectations. Cumulative sales have reached just 43.0% of the USDA forecast for the entire 2006-07 season as compared to 48.3% on average over the last five years.

Cumulative export sales for corn have already reached 27.3% of the USDA forecast for the 2006-07 season as compared to 22.7% on average over the last five years. Sales of 860,400 MT per week are needed to reach the USDA estimate. The news suggests that the USDA may be tempted to raise their export forecast in upcoming supply/demand reports, argue Chicago Board of Trade (CBOT) analysts.

Weekly US export sales for soybeans came in at 1.255 million MT, which was above trade expectations. This is the highest weekly sales total since January 12th, 2006, note CBOT analysts. Cumulative sales have reached 32.8% of the USDA forecast as compared to 31.9% on average over the last five years.

Meal sales came in at 148,000 MT, which was within trade expectations. Oil sales were 11,300 MT, also within trade expectations. Cumulative sales have reached 76.1% of the USDA forecast as compared to 66.6% on average over the last five years.

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