morning higlhights


Highlights

 The 6 to 10-day forecast calls for precipitation for much of the Corn-Belt ranging from 0.3 to 0.8 inch by Monday into Tuesday. Despite cool temperatures famers are planting.

  • June crude oil rallied this morning. At 7:15 CDT June crude is up $0.19 per barrel. Trading at $11.76 a barrel.
  • May grain options expire this week on April 24th.
  • Outside markets as of 7:00 am CT: Dollar down 235 points at 100.023, crude oil was up $.24 at $11.81, the Dow was off 631.56 at 23,018.49 and gold was up $20.40 at $1,698.60.

 Corn

  • May corn once again put in a new ten-year low yesterday at $3.01.However, corn traded higher overnight up 3 ¼ cents. Corn is expected to test the $3.00 barrier again with a lack of demand for ethanol.
  • South Korea’s KFA tendered for 58 tmt at $173.59 per tonne for early September it was bought from Glencore out of South America. Taiwan is tendering for 117 tmt of corn also coming from SA.
  • Funds continue to sell corn, selling an estimated 7,000 contracts yesterday putting them short an estimated 169,600 contracts.
  • September corn on China’s Dalian exchange traded $0.1 ¾ higher at 2,065 yuan per ton.

    Outlook: 1 to 3 cents higher on a dead cat bounce.

    Oilseeds

  • Soybeans were higher overnight after taking out recent lows at $8.21 soybeans traded down to $8.08 ¼ leaving the challenge open to test the low and the gap at $7.80 ½ from May 13th, 2019. Soybean oil was up $0.17 points, while soybean meal was up $1.90 a ton.
  • There is concern that soybeans planted in Kentucky may have frost damage, however, it’s too early to know.
  • Funds sold an estimated 3,000 contracts yesterday leaving them short an estimated 12,500 contracts.
  • Soybeans in China were up $0.07 ¾ a bushel, while soybean meal was down 3.10 a ton trading at 2,750 yuan per ton.
  • Malaysian palm oil traded up 11 ringgits at 2,075 ringgits overnight. Palm oil on the Dalian exchange was down 42 cents trading at 4,434 yuan per tonne.

 Outlook: 6 to 8 cents higher on stronger products.

 Wheat

  • The wheat complex traded quietly lower overnight down 1 to 3 cents.
  • Matiff wheat was off 1.0-euro trading at 202.75 euro/tonne.
  • China is expecting a bumper wheat crop telling local officials to expand storage capacity and store as much of this crop as possible.
  • Japan received no offers for its feed wheat tender of 80 tmt or its 100 tmt tender for barley.
  • Argentina is expected to sow 16.5 million acres of wheat for 20/21 crop year, up 1.5% according to the Buenos Aires Exchange.
  • Funds remain long an estimated 27,400 contracts.

 Outlook: steady to 2 cents lower following Matiff wheat lower.