Aug 16 Morning Ag Commentary

by Michael Niemiec,

Wheat prices overnight are up roughly 6 cents in the SRW Wheat, up 6 in HRW, and up 5 for HRS; Corn is up 3; Soybeans up 15 cents; Soymeal up 4.50, and; Soyoil up 15 points.

Overnight support seen up on U.S./Chinese negotiations ongoing.

The U.S. Midwest weather forecast had no major changes as rain events look to bring average to above average totals to the region for through the first half of next week; things turn quiet the second half of next week—–close to average temps are still seen—The 11 to 16 day forecast still has near average rainfall and temps for the Midwest and southern Plains; below average rains and above average temps are seen in the northern Plains.

 

Preliminary Open Interest saw SRW Wheat futures down roughly 5,200 contracts; HRW Wheat down 5,100; Corn up 2,800; Soybeans up 1,100 contracts; Soymeal down 11,000 lots, and; Soyoil up 4,600 lots.

There were changes in registrations (Soybeans down 51 contracts)—–Registrations total 107 contracts for SRW Wheat; 186 Oats; Corn 1,151; Soybeans 56; Soyoil 3,719 lots; Soymeal 200; Rice 35; HRW Wheat 274, and; HRS Wheat 738 contracts.

In tender activity—-Iraq bought 200,000t US/Canadian wheat—-Jordan bought 60,000t optional-origin wheat—-China is unloading another vessel of U.S. soybeans–

Wire story reports the United States has been recently shipping larger amounts of soybeans to destinations other than China, including those who are not heavy U.S. customers

JBS SA, the world’s largest meat-processing company, said global trade jitters are affecting its pork business in the United States; during a conference call to discuss second-quarter results with analysts, JBS executives said potential Mexican tariffs and trade discussions with China are hampering pork sales to Asia and ham sales to Mexico out of the United States.

—–the processed foods division of JBS SA would need to raise consumer prices by another 7 percent to pass through higher feed costs

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2018-08-16T12:15:22+00:00 August 16th, 2018|