Mar 14 Morning Ag Commentary

by Michael Niemiec,

Wheat prices overnight are up roughly 3 cents in the SRW Wheat, up 2 in HRW, and up 1 for HRS; Corn is unchanged; Soybeans down 1; Soymeal up $0.50, and; Soyoil down 15 points.

Chinese Ag futures (May) settled down 1 yuan in Soybeans, up 1 in Corn, up 29 in Soymeal, down 56 in Soyoil, and down 68 in Palm Oil. The Malaysian Palm Oil market was down 29 ringgit at 2,062 (basis May) on news Europe has restricted types of biofuel from palm oil that can be counted towards the EU’s renewable energy goals, hits 3 month low.

The U.S. Delta weather and the Southeast is seen moving towards more of a period of drier weather that looks to last into the end of next week.

Brazil’s weather forecast continues with general rainfall moving through the growing regions in an ongoing 10 day period.

Argentina’s weather forecast has scattered rains through the growing areas this week; rains move into the southern growing areas Friday and into the weekend; another front has rains for the northern two-thirds of the growing areas the first half of next week.

The player sheet had funds net sellers of 5,000 contracts of SRW Wheat; bought 8,000 Corn; net bought 5,000 contracts of Soybeans; bought 3,000 lots of Soymeal, and; net sold 1,000 Soyoil. We estimate Managed Money net short 81,000 contracts of SRW Wheat; net short 197,000 Corn; net short 78,000 contracts of Soybeans; short 46,000 lots of Soymeal, and; net long 17,000 Soyoil.

Preliminary Open Interest saw SRW Wheat futures down roughly 910 contracts; HRW Wheat up 3,400; Corn up 14,100; Soybeans down 960 contracts; Soymeal down 120 lots, and; Soyoil down 850 lots.

A meeting between U.S. President Donald Trump and Chinese President Xi Jinping to resolve the ongoing trade war won’t take place this month and is more likely to occur in April at the earliest, Bloomberg reported on Thursday citing unnamed sources.

Trade estimate for wheat sales is 400,000 to 600,000t; corn 800,000t to 1.2 mt; soybeans 1.2 mt to 1.9 mt; soymeal 50,000 to 300,000t, and; soyoil 5,000 to 20,000t.

Another survey has U.S. farmers planting 91.475 million acres of corn in 2019 and 84.263 million acres of soybeans; all U.S. wheat plantings seen at 47.414 million acres.

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2019-03-14T13:32:56+00:00 March 14th, 2019|