by Steve Freed,
Overnight trade has SRW down roughly 6 cents and near 5.44, Corn is up 2 cents and near 3.37; Soybeans are unchanged and near 8.62. Funds were active sellers of grains on Wednesday. US stocks are higher. Crude is higher.
Chinese Ag futures (Sep) settled unchanged in Soybeans, down 9 in Corn, down 43 in Soymeal, down 26 in Soyoil, and down 52 in Palm Oil. Malaysian palm oil prices were down 24 ringgit at 2,315 (basis June) at midsession on demand concerns, ideas of rising output.
The U.S. Winter Wheat areas have a rain system for the eastern regions over the weekend before turning drier for most of next until Saturday. Temps will below average through the weekend turning to above average for next week.
The Delta will see off and on rain period start over the beginning part of the weekend, then again on Monday, with another round of rains towards the end of next week.
The U.S. Midwest forecast has a rain system moving through mostly the northern regions over the beginning part of the weekend with things being mostly quiet for next week before another system looks to come through the beginning part of next weekend. Temps look to run above average in the east and below average in west over the next 4 days with all areas turning above average for next week.
The South American weather forecast for Brazil in the 6 to 10 day period has rainfall favoring the northern growing regions. Argentina looks to have limited rainfall for most areas over the next 10 days.
Demand for Brazil soybean has slowed. China should have record soybean to arrive to try to get crush market to move higher. Argentina still seeing slow farmer soybean sales.
Brazil continues to sell back corn for ethanol into the domestic market. Argentina corn vessels arriving to load but lower than average corn supplies at ports. US corn export prices are competitive. US domestic demand for ethanol continues to drop which adds to final carryout.
Russia wheat export policy still uncertain. Russia weather is still drier than normal. Algeria is tendering for wheat. Egypt announced a tender but then quickly cancelled. Middle East buyers appear to be willing to buy wheat to add to strategic reserves.
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.