Written Commentary
SOYBEANS
Soybean and soymeal futures are lower. Higher than expected USDA estimate of US 2022 soybean acres continues to offer resistance. Dalian soymeal was down 6 pct on the US acreage news and steepest daily drop in 10 years. There is talk that China may be buying US soybeans for April/May due to Brazil vessel congestion. USDA will not estimate US 2022/23 soybean S/D until May. Some fear carryout could be as high as 450.
CORN
Corn futures are mixed. Trade trying to adjust to lower US corn export demand especially China. There is some talk though that China Sino Grain may be buying US August corn through Cofco. USDA announced 132 mt corn to unknown. Dec is higher on lower than expected USDA estimate of US 2022 corn acres. Some feel US 2022/23 corn carryout could be as low as 770.
WHEAT
Wheat futures have turned lower. Talk of increase Russia and EU wheat exports offers resistance and offset US south plains 2 week dry and warm forecast. Some could see US 2022 wheat crop near 1,810 and carryout as low as 425.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2021 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
