Morning Highlights


  • The Chief Executive of the CN Railway Co stated that the CN lost capacity equivalent to 1 million tonnes of grain exports in February due to blockages caused by pipeline protesters.
  • New Hampshire’s first coronavirus patient decided to attend an event for the Dartmouth business school on Friday even though they were told to stay isolated, the attendees of the event are now being told to stay isolated.
  • China plans to start providing cash support to domestic and foreign airline carries to encourage them to not suspend flights due to the coronavirus.
  • Bayer’s seeds will face new competition this year with Corteva’s soybean seeds, Corteva expects its Enlist E3 seed to make up about 20% of the 2020 crop and Bayer’s Xtend soybean demand is expected to flatline after three years of strong growth.
  • The Dow is projected to open higher this morning, as futures are trading over 600 points higher this morning.
  • As of 7:00 AM: Crude oil up 0.72 at 47.90, Dow futures up 631 ticks at 26,511, and the U.S$ index up 377 at 97.530.                          


  • The corn market is trading slightly lower overnight as the market fails to find any fundamentals to support prices.
  • It is expected that China’s corn demand for animal feed will fall by 3 million tonnes in 2019-20 due to the coronavirus effect the country’s restocking of chicken.
  • Dry weather is forecasted for Brazil growing areas for the next 10 days, stressing germination and early growth of the safrinha corn crop. Below normal rainfall is expected to continue through the 11-15 day forecast also.
  • Safrinha corn plantings are now set at 72% complete, vs 61% complete last week, the forecasted dry weather should allow for planting to finish up with no issues.
  • Spreads: H/K 1 cent carry; K/N 2 ¼ cent carry; N/Z ½ cent carry .

Outlook: Trading slightly lower overnight as the market lacks any supportive news to fuel it higher.


  • The soybean market trading slightly higher overnight finding support from economic stimulus that is expected to help reduce the economic impact of the coronavirus.
  • China is not expected to make any nearby purchases of U.S beans as they focus on cheaper Brazilian beans, however we may see some deferred inquiries for new crop once the tariff waivers are granted.
  • Argentina’s agriculture ministry stated that they will be raising soybean export taxes from 30% to 33%.
  • A private industry analyst expects Brazil to harvest a record crop of 124.2 million tonnes despite the fact that RGDS has seen some crop failure due to drought.
  • Malaysian palm oil futures were higher today due to support from the upcoming Ramada holiday, the benchmark contract was up 5.17%.
  • Spreads: H/K 9 ½ carry, H/N 20 ½ carry, N/X 5 ½ carry

Outlook: Trading steady to higher today as the market is supported by economic stimulus and Argentina’s plan to increase export taxes on soybeans.  


  • Wheat markets all eased overnight after seeing support yesterday due to the U.S Federal Reserve’s interest cut.
  • Rumors that China is interested in U.S wheat supported the markets yesterday, however no confirmation of these rumors has been made yet.
  • Two South Korean flour mills purchased around 85,000 tonnes of milling wheat from the U.S. for shipment between June and August.
  • Jordan issued a new tender to purchase 120,000 tonnes of wheat from optional origins.
  • Tunisia has issued a tender to purchase 117,000 tonnes of soft wheat from optional origins.
  • Spreads: Chicago K/N ½ cent carry; Kansas City K/N 7 cent carry; Minneapolis K/N 9 ¼ cent carry.

Outlook: Trading lower today as the markets remain warry of the effects of the coronavirus.