Aug 29 Morning Ag Commentary

by Michael Niemiec,

Grains are mixed. SX is near 8.33. CZ is near 3.56. WZ is near 5.29. US Dollar is higher. Crude is higher.

Wire story reporting corn prices have dropped the most this year among feed grains including sorghum and barley, as U.S. farmers gear up to harvest; the most-active corn contract on the Chicago Board of Trade has given up 8.5 percent this year, the market’s sixth year of decline.

IKAR, one of the leading agriculture consultancies in Moscow, downgraded its forecast for Russia’s 2018 grain crop to 110 million tons from a previously expected 112.8 million tons; its forecast for Russia’s 2018/19 grain exports was cut to 39.8 million tons from 41 million tons; the estimate for wheat exports was unchanged at 32.5 million tons; its estimate for wheat output was cut to 69.6 million tons from 70.8 million tons, with the corn estimate cut by 100,000 tonnes to 11.7 million tons.

The U.S. Midwest weather forecast has rains finishing up with things turning quiet into Friday; more rains return to the north early in the holiday weekend with more rains for the whole region the middle part of next week—-temps still seen bouncing from the 70’s to the 90’s.

The 11 to 16 day forecast continues to hold 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.

Preliminary Open Interest saw SRW Wheat futures down roughly 13,800 contracts; HRW Wheat down 7,200; Corn down 16,800; Soybeans down 880 contracts; Soymeal up 6,400 lots, and; Soyoil down 12,100 lots.

As Sep deliveries near, registrations total 107 contracts for SRW Wheat; 186 Oats; Corn 1,151; Soybeans 12; Soyoil 3,719 lots; Soymeal 200; Rice 35; HRW Wheat 274, and; HRS Wheat 738 contracts.

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2018-08-29T12:21:29+00:00 August 29th, 2018|