Written Commentary
Ag Market View for July 26.24
July 26, 2024
MORNING AG OUTLOOK
Grains are lower. SX is down 13 cents and near 13.07. SMZ is near 392.4. BOZ is near 58.76. CZ is down 1 cent and near 4.80. WZ is down 1 cent and near 5.87. KWZ is down 1 cent and near 7.27. MWZ is down 1 cent and near 7.82. US stocks are lower US Dollar is higher Crude is lower. Some feel markets are lower due to US Central Bank new rate policy of higher for longer. $92 dollar crude may have also slowed demand.
Soybean futures are lower. Dalian soymeal and soyoil were lower. Soymeal prices lowest since mid August. Palmoil prices lowest since June. US Midwest could see rains over the next 7 days favoring north and west. Weekly US soybean export sales are est near 550-1,200 mt vs 703 last week. Brazil continues to be an active seller of soybeans to China. Lower energy prices impacting soyoil prices. There is concern about lower US fuel demand.
Corn futures are slightly lower. Debate continues over US corn yield. It is too early to make an educated guess but early ear weight and size could be smaller than normal. Brazil is dry. US Midwest could see rains over the next 7 days favoring north and west. Weekly US corn export sales are est near 550-1,100 mt vs 753 last week. Brazil continues to be an active seller of soybeans to China. September Brazil corn exports to China could be a record 4.5 mmt. There remains work for try to get Ukraine exports through Romania.
Wheat futures are slightly lower. US HRS prices should increase vs feed wheat. Higher feed wheat supply reduce milling wheat supply. Australia remains dry with some crop estimates near 24-25 mmt vs USDA 26 and could go even lower. Last years crop was 39.7.It remains warm and dry across S Russia winter crops area. Weekly US wheat export sales are est near 250-600 mt vs 437 last week.
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