by Steve Freed,
Grains are lower. SX is down 14 cents and near 8.40. CZ is down 3 cents and near 3.59. WZ is down 6 cents and near 5.30. CRB Index is lower. US Dollar and socks are higher.
Chicago soybean futures slipped on Monday to their lowest in almost six weeks, falling for the fourth time in five sessions, as expectations of a record U.S. crop weighed on the market and lower China prices. Wheat slid for the sixth consecutive session on the lack of demand for U.S. cargoes despite tightening world supplies, while corn was also lower as US harvest nears.
China’s soybean and soymeal futures fell on Monday, hit by concerns that outbreaks of African swine fever in China may reduce demand for feed.
Record US and World soybean end stocks could drop SX below 8.00 this fall. Some feel 3.50 CZ could be good support with a rally to 4.20 early in 2019 possible. Same group could see nearby Chicago wheat near 5.25, KC near 5.50 and Minneapolis wheat near 6.00 for much of 2019.
The U.S. Midwest weather forecast has a rain system the middle of the week bringing good to moderate totals to much of the Midwest favoring the north; another good rain event is seen late in the holiday weekend next weekend and into the early part of the week. Temps will be bouncing around a bit between the 70’s and 90’s.
The 11 to 16 day forecast turned to close to average temps for the Midwest and Plains; average to a bit below average rainfall is seen for the Midwest, below average rains for the Plains
U.S. Agriculture Secretary Sonny Perdue said details of a planned $12 billion aid package for U.S. farmers hurt by the Trump administration’s trade wars will be disclosed on Monday.
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