Dec Soyoil Stocks Higher
MORNING AG OUTLOOK
Grains are mixed. SH is unch and near 12.03. SMH is near 362.8. BOH is near 45.60. CH is down 1 cent and near 4.46. WH is up 2 cents and near 6.04. KWH is up 7 cents and near 6.28. MWH is up 5 cents and near 7.01. US stocks are higher. US Dollar is lower. Crude is higher.
SH is near 12.03. Dalian soybean, soymeal, palmoil and soyoil were lower. US Dec crush was 204 mil bu vs 200 in Nov and 187 last year. US Dec soyoil and soymeal stocks were higher. Weekly US soybean export sales were only 164 mt with total commit near 38.1 mmt vs 47.1 ly. Weekly US soymeal sales jumped 494 mt. Brazil farmer has slowed new sales but this is offset by lack of new China buying. Argentina dropped their soybean crop rating to 36 pct G/E vs 44 last week but still above 14 ly. Rains are due next week. China Lunar new year starts Feb 10.
CH is near 4.46. Overnight, Crude futures are higher. Recent CH range has been 4.38-4.48. Hard to break below support with talk of lower SA crops. CH is hard to rally due to slower demand. US corn export sales were 1.2 mmt and higher than expected. Total commit is up 31 pct vs last year. Weekly US ethanol production increased, Stocks were down 1 pct vs last year. US cattle herd is lowest since 1951. Matif corn is making new lows due to higher EU supplies. EU farmers called off blockades.
Wheat futures are higher WH is near 6.04. KWH 6.28. MWH 7.01. There were rumors of China interest in French and US wheat. US wheat export sales were 322 mt with total commit up 4 pct vs ly and USDA est of 4 pct drop. NE Africa remains dry. US plains and Canada weather is improving. Global wheat import demand has slowed as buyers search for funding. Red Sea unrest could add to freight cost and slow demand.
Interested in more futures markets? Explore our Market Dashboards here.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2021 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.