Global Ag News Headlines June 3
Overnight trade has SRW down roughly 2 cents, HRW up 4; HRS Wheat up 1, Corn is down 1 cent; Soybeans up 3, Soymeal up $0.50, and Soyoil up 15 points.
Chinese Ag futures (Sep) settled down 37 yuan, down 1 yuan in Corn, up 3 in Soymeal, up 34 in Soyoil, and up 78 in Palm Oil.
Malaysian palm oil prices were up 9 ringgit at 2,350 (basis August) at midsession following crude, soyoil gains; await May production figures.
U.S. Weather Forecast
Tropical Storm Cristobal is nearly stalled near the southwestern part of the Yucatan Peninsula; confidence is increasing some of a landfall in Louisiana Sunday; confidence is low of where its remnants then go after this; the afternoon GFS had an aggressive swath of heavy rain from the system occurring from central and eastern Oklahoma into central Iowa Sunday into next Tuesday; last night’s GFS reduced the rain some and shifted the swath of significant rain farther east more into Arkansas and Missouri
Last night’s GFS model run has a surge of cool air across much of the U.S. east of the Rocky Mountains Jun. 15 – 17; some below average readings are likely, especially in the Corn Belt.
The player sheet had funds net sellers of 5,000 contracts of SRW Wheat; net bought 2,000 Corn; net bought 10,000 Soybeans; net bought 1,000 Soymeal, and; net bought 3,000 Soyoil.
We estimate Managed Money net short 6,000 contracts of SRW Wheat; net short 261,000 Corn; net long 8,000 Soybeans; net short 42,000 lots of Soymeal, and; are net long 9,000 Soyoil.
Preliminary Open Interest saw SRW Wheat futures up roughly 2,400 contracts; HRW Wheat down 465; Corn up 15,600; Soybeans up 75 contracts; Soymeal down 790 lots, and; Soyoil down 1,600.
There were no changes in registrations—Registrations total 11 contracts for SRW Wheat; ZERO Oats; Corn ZERO; Soybeans ZERO; Soyoil 3,495 lots; Soymeal 511; Rice 121; HRW Wheat 17, and; HRS Wheat 488 contracts.
TODAY—WEEKLY ETHANOL STATS—
Tender Activity—Egypt bought 120,000t Ukrainian wheat—Taiwan bought 65,000t optional-origin corn—Syria seeks 50,000t optional-origin corn, 50,000t soymeal—
U.S. Senator Chuck Grassley said he is not worried that China will fail to keep its commitments under the Phase 1 U.S.-China trade deal over the long term, despite current friction between the world’s two largest economies; Grassley told reporters that U.S. Trade Representative Robert Lighthizer shared that view, following a call with Chinese Vice Premier Liu He; I don’t have any reason to think that China long-term (is) not going to keep their agreement and that’s Lighthizer’s view after his conversation with the vice premier of China that he briefed me on.
Manitoba crop report
—High wind speeds over the last week, coupled with frost on May 30 has hurt or delayed crops in many areas; damage assessment is ongoing
Ukrainian ProAgro agriculture consultancy revised up its forecast for the country’s 2020 grain harvest to 74.43 million tons from the previous outlook of 72.52 million due to better weather
—The consultancy also raised its estimates for Ukrainian wheat harvest to 26.65 million tonnes from 25.36 million,
—For corn – to 37.58 million tonnes from 37.3 million tonnes a month earlier
Ukrainian export wheat prices have risen by $3-$4 per tonne over the past week in response to expectations of a decrease in the 2020/21 harvest in Ukraine as well as in other exporting countries
—Milling wheat from the new 2020 harvest was quoted at $172-174 per tonne CPT (Carriage Paid To) in small Ukrainian Black Sea ports as of June 3 compared with around $168-170 a week earlier,
—The consultancy said feed wheat prices had also risen to $160-164 per tonne from $159-161.
In Kazakhstan 91% or 13.3 million hectares of agricultural land have been sown with grain and leguminous crops, the press office of the Agriculture Ministry has said; as many as 14.7 million hectares will be under grain and leguminous plants
—Kazakhstan’s quotas for exports of flour and wheat during the peak of coronavirus pandemic hurt the countries of Central Asia; Kazakhstan’s export quotas for wheat and flour were of very little global importance; Kazakhstan was one of the few countries in the world to cut agricultural exports; these restrictions, however, hurt the Central Asian states during the pandemic and shook their confidence in regional cooperation and trade in the future
—Kazakhstan expects to harvest 18.0-18.5 million tons of grain this year and export 7.0-7.5 million tons in the upcoming season, senior agriculture ministry officials said
- EU 2019/20 SOFT WHEAT EXPORTS 31.33 MLN T BY MAY 31 VS YEAR-EARLIER 19.24 MLN T – OFFICIAL DATA
- EU 2019/20 BARLEY EXPORTS 6.78 MLN T BY MAY 31 VS YEAR-EARLIER 4.16 MLN T –
- EU 2019/20 MAIZE IMPORTS 18.54 MLN T BY MAY 31 VS YEAR-EARLIER 22.16 MLN T –
- EU 2019/20 SOYBEAN IMPORTS 13.83 MLN T BY MAY 31 VS YEAR-EARLIER 13.86 MLN T –
- EU 2019/20 RAPESEED IMPORTS 5.59 MLN T BY MAY 31 VS YEAR-EARLIER 3.91 MLN T –
- EU 2019/20 SOYMEAL IMPORTS 16.46 MLN T BY MAY 31 VS YEAR-EARLIER 16.30 MLN T –
- EU 2019/20 PALM OIL IMPORTS 5.25 MLN T BY MAY 31 VS YEAR-EARLIER 5.89 MLN T –
Flour millers in Indonesia bought 35,000 tonnes of Black Sea wheat for around $225 a tonne, including cost and freight (C&F), for August shipment in a recent deal
—Buyers in the Philippines booked 60,000 tonnes of feed wheat last week at around $215 a tonne, C&F, for September shipment
—Black Sea milling wheat prices are steadily going up because of higher freight costs
—Black Sea wheat prices were quoted at around $230 a tonne, C&F to Asia, up from $225 a tonne last week
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