by Steve Freed,
Overnight trade has SRW down roughly 7 cents, HRW down 4; HRS Wheat down 4, Corn is down 1 cent; Soybeans down 9, Soymeal down $2.70, and Soyoil down 44 points. US stocks are trading lower on concern spread of virus will slow economy and be longer than hoped. Crude is lower on increase OPEC supplies.
For the month, SRW Wheat prices were up roughly 43 cents; HRW up 40; HRS up 12; Corn was down 24 cents; Soybeans down 12; Soymeal up $8.00, and; Soyoil down 170 points; Crushing margins were up 113 cents, Oil share down 1 cent.
Chinese Ag futures (Sep) settled up 34 yuan in Soybeans, unchanged in Corn, down 51 in Soymeal, down 76 in Soyoil, and down 82 in Palm Oil. Malaysian palm oil prices were down 64 ringgit at 2,338 (basis June) on demand plunge.
New month. Managed funds may have reduced soybean, soymeal and wheat positions before month end and USDS report. Some managers are back overnight and putting on new bearish bets in grains. USDA report was bearish corn. Lower US soybean acres could be supportive but overnight financial and energy markets are trading fear virus spread will reduce demand. It will take a 2020 weather scare to rally prices.
For the U.S. Western Kansas and eastern Colorado could use greater moisture for unirrigated crops to develop more favorably and not much moisture is expected in this area through next Tuesday. Last evening’s GFS model was notably wetter in the southeastern states Apr. 11 – 15. Rain will also be on the increase in the Delta; In the lower Midwest, rain will be frequent
USDA est IL, IN, OH, WI, IA, MN, NE and SD combined acres near a record 64 million. China has bought 15 Brazil soybean cargoes so far this week. Argentina is still in lockdown. US corn export prices are competitive. Russia sold 1 mmt of wheat reserve to domestic market.
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