Written Commentary
OPENING COMMENTS
Ag Fundamentals:
Kansas lost -4% of their wheat crop’s good/excellent in the USDA NASS crop report (from 52% to 48%). Texas is 28% good/excellent, Oklahoma unchanged at 46%, and Colorado is at 60% good/excellent. Most of these growing areas are emerging from dormancy and soil moisture is low in nearly half of the US growing areas. USDA crop progress reports will resume on April 7th. NOPA reported a decline in soybean crush yesterday. In January the US crushed 200.4M bushels of soybeans, and 177.9M bushels last month in February. This was well below the average estimate of 185M bushels. Brazil’s soybean harvest is cruising along ahead of pace at 70% as of last week. Spring weather will now become important to predict corn/soybean acres in the US. A favorable spring season for field work would mean expectations will grow above the already pumped up 94 million acre corn estimate.
May Chicago Wheat starts the day between the 50-day (red) and 100-day (blue) moving averages. Between wheat crop ratings declining in Kansas and the Trump/Putin talks happening today, wheat has rallied back from lows to trade above the 50-day MA.
EXPORT & WORLD NEWS
Iran is believed to have bought around 120K MT of wheat last week. Japan is in the market to buy about 122K Mt of food-0quality wheat.
Malaysian palm oil futures were down overnight 108 ringgit, now at 4366
Daily Trading Limits: Corn $0.30 (expanded $0.45); Soybeans $0.85 (expanded $1.30); Minneapolis Wheat $0.60 (expanded $0.90); KC Wheat $0.40 (expanded $0.60); Chicago Wheat $0.40 (expanded $0.60)
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