Nov 9 Morning Ag Commentary

by Steve Freed,

Grains are lower. SF is down 3 cents and near 8.75.  CZ is down 2 cents and near 3.71. WZ is down 5 cents and near 5.02. US stocks are lower. Crude is lower.

For the week, Winter Wheat prices are down roughly 12 cents for SRW, down 15 in the HRW, and down 8 for HRS; Corn is down 1; Soybeans down 12 cents; Soymeal down $3.00, and; Soyoil down 40 points.

Grains prices are lower. World traders are adjusting to USDA higher World soybean and wheat end stocks. Traders are confused about the large increase in World corn stocks due to higher China and higher China supplies could delay their buying of corn. There are rumors though that China has bought one cargo of Ukraine corn. Some doubt US farmers will be aggressive sellers of stored corn at current prices. US soybean and wheat basis are firming.

For the week ended November 1st, U.S. All Wheat sales are running 15% behind a year ago, shipments 20% behind with the USDA forecasting a 14% increase on the year. U.S. Corn sales are running 16% ahead of a year ago, shipments up 85% with the USDA forecasting unchanged on the year. U.S. Soybean sales are running 31% behind a year ago, shipments 41% behind with the USDA forecasting an 11% decline on the year. Soymeal sales 15% ahead of a year ago, shipments 30% ahead with a 7% decline forecasted.

The U.S. Midwest weather forecast sees precip finishing up in the east with another system of light snow to move through the Ohio River Valley on Monday. Dry weather then returns. Temps continue below average.

Brazil weather has no changes as they continue to see hit and miss rains in the north with dry weather elsewhere over the near term. Soaking rains are still seen in the extended forecast with coverage around 85%. Argentine weather is dry until a strong system brings good rains over the weekend and early next week. Dry weather returns the second half of the week until more rains are seen the following weekend; some of the rains could bring flooding, especially in the south.

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.

 

2018-11-09T14:59:57+00:00 November 9th, 2018|