Written Commentary
MORNING AG OUTLOOK
Grain calls are mixed. Seasonally, grain futures tend to trade sideways into yearend due to lack of new buying and selling. US stocks are higher. US Dollar is lower. Gold higher. Crude is lower. CBOT grains open at 8.30 AM CST today and close early at noon. Russia hit key Ukraine energy targets.
SOYBEANS
SH is near 9.97. Dalian soybean, soymeal, palmoil and soyoil were higher.There is new talk that Brazil crop estimates are now over 170 mmt vs USDA 169 and 153 last year. Argentina plantings are near 44 pct with crop rated 96 pct good/normal. Crop is estimated at 50.8 mmt vs USDA 51.0. Palmoil prices are higher on talk of new demand. Dalian soyoil futures and Matif rapeseed and sunoil are following. Weekly US soybean export sales are est at 1,500-2,400 mt vs 1,860 last week. Soymeal deliveries were 776 lots
CORN
CH is near 4.28. CH could be in a 4.20-4.40 range. Dalian corn was lower. Nearby corn export PNW price is lower to Asian buyers vs Brazil. There was talk that S Korea and Taiwan were active buyers of US Q1 corn needs. US corn prices are also best to EU and N Africa. There is talk that Brazil crop is above 130 mmt vs USDA 127. Argentina corn plantings are near 41 pct with crop rated 41 pct G/E vs 26 ly. S Africa crop is est at 12.7 mmt or down 23 pct vs ly. S Africa futures are making new highs. Weekly US corn export sales are est at 800-2,000 mt vs 1,494 last week. Corn deliveries were 111 contracts.
WHEAT
WH is near 5.52. KWH is near 5.54. MWH is near 5.98. WH resistance is near 5.75. WH support is near 5.50. Black Sea wheat prices are dropping looking for demand. Matif wheat futures were down due to slow export demand and improved Black Sea weather. This despite talk EU wheat crop is 119.5 mmt vs USDA 122.6. World wheat matrix is tightening for high quality wheat. Egypt military tendered for wheat vs GASC? Due to high domestic prices, India sold 2.5 mmt from reserves. Weekly US wheat export sales are est at 200-600 mt vs 549 last week. KC wheat deliveries were 105 contracts.
Interested in more futures markets? Explore our Market Dashboards here.
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.
