Morning Highlights


Highlights

  • The energy markets are mostly higher with crude oil up 1.17 at 26.39/barrel and RBOB up 0.0253 at 0.7103.
  • The US$ turned lower overnight, down 630 at 102.124, the gold market saw a nice rebound, up 29-30 bucks at 1509/ounce and the CD$ up 0.01045 at 0.7000.
  • DJIA is expected to open 400-500 higher. Yesterday’s close was in the green.
  • The USDA’s planting intentions and March 1 grain stocks reports are scheduled for release on March 31st at 11 AM CDT.
  • StatsCan plantings report is scheduled for April 4th. 

Corn

  • The corn market traded higher on strength in crude oil and a weaker US$.
  • May corn is up 7 cents for the day but down 12-13 cents since last Friday. Support for May is at $3.50 and again at this week’s low of $3.32.
  • Spreads: K/N 4 ½ carry, N/U 3 ½ carry, N/Z 10 ¼ carry, Z/N1 15 ¾ carry. 

Outlook:  higher trade on strength in energy market and weakness in the US$ 

Oilseeds

  • The soy complex continues to move higher on possible closures of SA ports and US acreage ideas.
  • May soybeans are currently up 9 ¼ cents for the day, but only up 3 ¾ cents for the week
  • Soymeal supported from ideas of increased demand. Soyoil garnered strength from the pop in crude oil prices yesterday and overnight strength in palm oil.
  • June palm oil closed up 72 ringgit at 2288 ringgit.
  • China beans were down 11 ½ cents, meal up 9-10 bucks and oil up 72 points.
  • Canada’s 2020/21 canola production estimate at 18.5 mmt, on increased yields.
  • Spreads: K/N 5 ¼ carry, N/Q 2 ¼ carry, N/X 2 ½ carry, X/H 16 ½ inverse. 

Outlook:  higher trade on logistical issues in SA and possible Chinese buying 

Wheat

  • Wheat prices remain in positive territory on hopes of improving demand for US wheat.
  • The French wheat crop conditions are unchanged at 63% G/E.
  • Australia could see increased demand from supply issues in Europe.
  • Canada’s 2020/21 “All Wheat” crop estimated at 33.5 mmt. This compares to USDA’s 2019/20 estimate at 32.35 mmt.
  • Russia’s wheat 2020 wheat crop estimated at 84.4 mmt as reported by SovEcon.
  • Spreads: Mpls K/N 9 carry, U/Z 13 carry, Kansas City K/N 3 ¼ carry, Chicago K/N 3 ¼ inverse. 

Outlook: higher start with possible setbacks by the end of the day