Morning Highlights with Exports


Highlights

  • Overnight, Asian stock markets were mixed, the Hang Seng lost 0.35% trading at 26,063.76. The Nikkei was up 177.16 points at 21,678.68. The FTSE was up 105.37 at 6,809.42.08, the DAX was off 74.02 points at 10,867.03. The Dow Jones was trading at 24,947.67. The US Dollar index was off 0.19% at 96.63.

  • China’s Commerce Minister Gao Feng said “China will start from agricultural products, autos and energy to immediately implement specific items that China and the US have agreed upon”. However, traders remain skeptical and are looking for proof of intent.  

  • The US jobs report showed the US added 155,000 jobs, below the expected 250,000. Unemployment remained at 3.7%

  • OPEC is dead locked on cutting crude oil production with Iran resisting cutting production. The US was a net oil exporter for the first time in 75 years.  

  • The USDA COT report has been delayed a day, the USDA S & D report will be released December 11th at 11:00 am CDT.

 

Corn

  • Corn traded mixed overnight, in response to growing weariness to the trade truce.

  • Corn in China was up 1 ¾ cents trading at 1,888 yuan for May.

  • Export sales for corn were 1.178 mmt that’s above the range of 800 tmt to 1.1 mmt.

  • Corn exports for September and October were 10.95 mmt, that’s 18% of USDA exports for the 18/19 season up from 39% over last year.

  • There were 185 corn deliveries bringing the total for the month to 712 contracts with the next available date November 29th.

Outlook:  steady to 2 cents higher following wheat.

 Oilseeds

  • The soy complex was mixed overnight as growing mistrust of the trade war truce is weighing soy complex lower. January soybeans were up 3 ¼ cents at $9.12 ¾, soybean meal is up $0.90 a ton at $313.10 a ton and soybean oil is down 1 point at $0.2871 per lb.

  • Export sales for soybeans were 890.9 tmt, that’s in the range of 600 tmt to 900 tmt. Export sales for soybean meal were 287.2 tmt, which was in the range of 175 tmt to 400 tmt. Oil sales were 21.1 tmt.

  • Soybeans in China were off 25 ¼ cents trading at 3,224 yuan. Soybean meal in China was down $2.10 at 2,709 yuan. This was the third week in a row soybean meal in China has traded lower.

  • Malaysian palm oil was off 7 ringgit trading at 4,506 ringgits closing lower for the second week in a row.  

  • Soybean prices between the US and Brazil are narrowing, Brazilian beans are roughly $25 a ton more expensive than US soybeans.

  • There were no new soybean meal deliveries, the total to 338 contracts with the next available date at November 20th. There were 1,078 contract of soybean oil delivered.

Outlook: steady to 2 cents higher on stronger soybean meal.

 Wheat

  • The wheat complex rallied to close out the week higher. For the week, Chicago March wheat is 3 ¼ cents higher. Overnight, Chicago March wheat is up 3 ¾ cents, KC wheat is up 4 ¾ cents and Mpls March spring wheat was up 2 ¾ cents higher.

  • Export sales for wheat were 711.7 tmt, that’s above the range of 300 tmt to 600 tmt.

  • Year to date (Jan. to Oct.) Russia has exported 36.8 mmt.

  • Matiff wheat traded up 1 euro at 201.00 euros per tonne.

  • China sold 3.7 tmt of wheat from its state owned reserves for $321.25 per tonne.

  • There were no wheat deliveries in KC bringing the total to 877 contracts with the next available date Dec. 5th. There were 109 contracts Chicago wheat deliveries with the next available date December 6th, Mpls with the next available date November 16th. 

Outlook: 3 to 5 cents higher.