Morning Highlights


Highlights

  • The U.S. has added additional Chinese companies to their blacklist, which restricts their ability to do business with U.S. companies.
  • Outside markets as of 7:00 AM: November crude oil at $51.99 down $0.76; October gold at $1,504.70 up $7.00; DJIA at 26,478.02 down 95.70 points; US Dollar at 98.911 down 0.056.
  • The next WASDE report will be released at 11:00 AM Central on Thursday, October 10th.
  • Lean hogs will have expanded trading limits of $4.50 per cwt today.

 Corn

  • Corn traded both sides overnight in a narrow range, as the market waits for the WASDE report on Thursday. The overnight sessions didn’t seem eager to respond to the potential blizzard threat to the Northern Plains, or to the slow harvest progress, declining crop conditions, and immature crop.
  • A well-respected professional crop scout left his U.S. corn yield estimate unchanged at 162.0 bushels per acre.
  • The U.S. corn crop was rated 56% good/excellent, down from 57% last week. Harvest is 15% complete, versus 33% last year and the 5-year average of 27%. Corn maturity was only 58% versus 92% last year and the 5-year average of 85%.

 Outlook:  Unchanged to a penny lower as the market waits for the WASDE report.

Oilseeds

  • Soybeans traded both sides overnight but are mostly lower this morning as trade tensions do not seem to be improving between the U.S. and China. Additional pressure stems from the trade waiting for the WASDE report this Thursday.
  • A well-respected professional crop scout left his U.S. soybean yield estimate unchanged at 46.0 bushels per acre.
  • The U.S. soybean crop was rated 53% good to excellent, down from 55% last week and harvest is 14% complete versus 31% last year and the 5-year average of 34%.
  • Chinese January soybeans were up 11, settling at 3,375 yuan per ton; soymeal was up 6.80, settling at 2,925; and soyoil was up 32 settling at 5,932. December palm oil was up 15 ringgits, settling at 2,175.

 Outlook: 2-4 lower on a lack of trade optimism.

Wheat

  • The wheat markets were mixed overnight, with Chicago and Kansas City mostly lower and spring wheat mostly higher. Strength for winter wheat comes from poor weather expected in the North, and harvest progress that was slower than expected. Weakness in the winter wheat markets stems from good planting progress, and a non-threatening weather forecast.
  • Jordan received 5 offers in their tender for 120,000 tonnes of wheat. A purchase has not been reported at this time.
  • The lowest offer in the Egyptian GASC tender was for $201.90 per tonne FOB for Ukrainian Wheat. The amount is believed to be 55,000 tonnes, and a purchase has not been reported at this time.
  • Russia’s wheat exports for January through August were 18.5 million tonnes versus 27.8 million tonnes last year.
  • Spring wheat harvest 91% complete versus the 5-year average of 99%. Winter wheat planting is 52% complete versus 55% last year and the 5-year average of 53%.
  • France’s farm ministry raised their soft wheat harvest estimate to 39.7 million tonnes, up from 39.45 million tonnes last month.

 Outlook: Chicago and Kansas City 2-3 lower, Minneapolis unchanged to a penny higher.