Grains Have Turned Higher
Grains have turned higher. SN is up 14 cents and near 16.02. SX is up 10 cents and near 14.07. SMN is near 416.2. BON is near 70.16. Palmoil is higher. CN is up 11 cents and near 6.63. CZ is up 8 cents and near 5.46. WN is up 8 cents and near 7.07. KWN is up 9 cents and near 6.62. MWN is up 8 cents and near 7.23. US stocks are higher. US Dollar is lower. Crude is higher. Copper is higher.
For the week so far wheat prices are down 3/4 in SRW, up 3 1/2 in HRW, down 17 in HRS; Corn is up 21; Soybeans up 16; Soymeal down $0.25; Soyoil up 2.23.
For the month to date wheat prices are down 26 3/4 in SRW, down 40 1/4 in HRW, down 40 1/4 in HRS; Corn is down 9 1/4; Soybeans up 69 3/4; Soymeal down $9.60; Soyoil up 7.89.
Chinese Ag futures (SEP 21) Soybeans down 8 yuan ; Soymeal up 21; Soyoil up 6; Palm oil down 32; Corn down 10 — Malasyian Palm is up 200. Malaysian palm oil prices overnight were up 196 ringgit (+4.62%) at 4438, to fresh 2008-highs while industry participants anticipate weakening output from second-biggest grower Malaysia.
US 5 day rain will be across US south plains, US north plains and east Delta. Parts of Russia is dry.
Continued strong US domestic corn and soybean basis is offering support to nearby futures.
NOPA monthly soybean crush down to 160 mil bu vs 169 expected. Some maintenance downtime. Lower crush also linked to crushers struggling to buy soybeans. Lower soyoil stocks positive to soyoil.
Matif rapeseed futures lower. Canada canola futures were up the daily limit.
US soybean plantings 61 pct. USDA 21/22 23 mmt increase supply will need record US/Brazil yields. US corn 80 pct planted vs 68 average. USDA Brazil corn crop of 102 mmt could be 18 mmt to high. USDA est Brazil corn exports at 34 mmt. Shipments now 18. July-Sep need 16. Previous record 13. Some feel Brazil corn exports may be only 10 mmt. This down 325 mil bu from USDA guess.
Informa est of US 2021 corn acres at 96 negative. Some concern of timing of report vs USDA numbers.
USDA announced 1.7 mmt US 2021/22 corn to China. Totals now close to 10-12 mmt.
US winter wheat rated 48 pct G/E. US spring wheat 85 pct planted vs 71 average. World wheat tender activity improving. Baltic prices lowest. US prices not competitive. Annual KS wheat crop tour this week. USDA est KS 2021 wheat crop at 331 mil bu vs 281 last year.
On Monday, Managed funds were net sellers of 6,000 contracts of SRW Wheat; bought 7,000 Corn; 2,000 Soybeans; sold 3,000 Soymeal, and; bought 6,000 in Soyoil. CFTC estimated Managed Money net shirt 14,000 contracts of SRW Wheat; net long 194,000 Corn; long 162,000 Soybeans; long 46,000 Soymeal, and; net long 102,000 Soyoil.
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.