Mar 27 Morning Ag Commentary

by Steve Freed,

TGIF. Grains are mixed. SK is up 7 cents and near 8.88. CK is down 1 cent and near 3.47. WK is up 4 cents and near 5.73 Number of World coronavirus cases is now near 542,031. US 85,625. US stocks are lower. US Dollar is higher. Meats are lower.

For the week, SRW Wheat prices were up roughly 29 cents; HRW up 19; HRS up 14; Corn was up 4 cents; Soybeans up 25; Soymeal up $8.00; and Soyoil up 105 points; Crushing margins were up 4 cents; Oilshare unchanged.

For the U.S, 6-10 day and 8-14 day Midwest forecast is cool and dry. Rains could return after 14 days

For South America, N Brazil could see normal rains north and below south. Argentina should see mostly normal rains and normal to above temps.

Corn futures are on the defensive on concern about demand for US corn. Trade est US 2020 corn acres near 94.1 with a range of 92.0-96.4 versus 89.7 last year. March 1 stocks are est near 8,134 mil bu vs 8,613 last year. Slow US export pace and drop in domestic ethanol demand weighs on corn prices.

Soymeal and soybean futures found support on demand hopes. Trade est US 2020 soybean acres near 85.0 with a range of 82.7-87.5 versus 76.1 last year. March 1 stocks are est near 2,228 mil bu vs 2,727 last year. Argentina domestic logistics and slow farmer selling could slow their exports.

Wheat futures are higher on rumors of Russia May-June export quotas. Trade est US 2020 wheat acres near 45.0 with a range of 44.0-46.0 versus 45.2 last year. March 1 stocks are est near 1,420 mil bu vs 1,593 last year.

March 1 US hog inventory was up 4 pct. Suggest higher mid to late summer supplies. Lower prices.

For the week ended March 19th, U.S. All Wheat sales are running 5% ahead of a year ago, shipments up 10% with the USDA forecasting a 7% increase on the year. U.S. Corn sales are running 28% behind a year ago, shipments 41% behind with the USDA forecasting a 16% decline. U.S. Soybean sales are running 14% behind a year ago, shipments 7% ahead with the USDA forecasting a 4% increase on the year. Soymeal sales 5% behind on the year, shipments down 2% with a 3% decrease forecasted

The information conveyed by ADMIS or its affiliates to the audience is intended to be instructional and is not intended to direct marketing, hedging or pricing strategy or to guaranty or predict future events, including the pricing and pricing movements of commodities and commodity futures contracts.

2020-03-27T12:27:25+00:00 March 27th, 2020|