Morning Highlights with Export Sales


Highlights

  • Data compiled by John Hopkins University on their coronavirus map indicated that global cases of coronavirus have surpassed 5 million confirmed cases. Of those cases, over 1.5 million are in the U.S.
  • Weekly jobless claims showed that 2.44 million Americans filed for unemployment last week.
  • The CDC has released a 60-page document that contains guidelines to reopening the U.S.
  • The monthly cold storage report will be released at 2:00 PM Central today.
  • In observance of Memorial Day, the grain markets will be closed Sunday night and Monday. Trade will resume Monday night at 7:00 PM Central.
  • Outside markets as of 7:00 AM Central: July crude oil at $33.98 up $0.49; gold at $1,737.90 down $14.20; US Dollar index at 99.138 up 0.014; Dow futures at 24,376 down 143 points.

Corn

  • Corn was mixed overnight in a narrow range. Demand for ethanol continues to lag, and there’s been little fresh news to push the market out of its range. July corn is at a penny premium to July oats.
  • Reports are stating that a cargo of 9,000 tonnes U.S. ethanol is set to arrive in China this month. This would likely be the first U.S. ethanol to go to China since Phase One of the trade deal was reached.
  • Weekly export sales were 884,200 tonnes versus estimates of 500,000 to 1,000,000 tonnes and new crop sales were a reduction of 29,400 tonnes versus estimates of 200,000 to 400,000 tonnes.

Outlook: Steady to lower.

Oilseeds

  • Soybeans were lower overnight after yesterday’s bounce, alongside soymeal and soyoil. July soybeans have traded on both sides their 20-day moving average of $8.42 ½ during the overnight session. The market seems disappointed that there haven’t been flash sales to China reported since earlier in the month when they were occurring very regularly.
  • Weekly export sales for soybeans were 1,205,000 tonnes versus estimates of 500,000 to 1,000,000 tonnes and new crop sales were 464,000 tonnes versus estimates of 300,000 to 600,000 tonnes. Soymeal sales were 198,800 tonnes versus estimates of 75,000 tonnes to 250,000 tonnes and soyoil sales were 62,100 tonnes versus estimates of 15,000 to 45,000 tonnes.
  • Chinese soybeans were up 31 cents and settled at 4,289 yuan per tonne; soymeal was down 40 cents at 2,749 yuan per tonne; soyoil was up 13 cents and settled at 5,468 yuan per tonne.
  • Malaysian palm oil was up 48 ringgits and settled at 2,207 ringgits on the August contract.

Outlook: 2 to 4 cents lower.

Wheat

  • The wheat markets were higher overnight on follow through after yesterday’s short covering rally. July Chicago wheat jumped above its 20-day moving average at $5.19 ½ and July Minneapolis is over its 50-day moving average of $5.23 ½.
  • Day two of the Kansas wheat tour found yields of 42.5 bpa in west central Kansas and 32.9 bpa in southwest Kansas. The two-day average of the tour is 42.0 bpa. The tour will wrap up today.
  • Russia’s IKAR has lowered their 2020 wheat production for the country from 77.2 million tonnes to 76.2 million tonnes.
  • Weekly export sales were 175,800 tonnes versus estimates of 100,000 to 250,000 tonnes and new crop sales were 252,400 versus estimates of 100,000 to 400,000 tonnes.

Outlook: Higher across the board.