Explore Special Offers & White Papers from ADMIS

Trade Debates USDA vs Reality


Grains are mixed. SN is up 9 cents and near 14.81. SMN is near 462.0. BON is near 53.59. CN is up 1 cent and near 6.29. WN is down 3 cents and near 6.84. KWN is down 6 cents and near 8.40. MWN is down 1 cent and near 8.59. US stocks are higher. US Dollar is lower. Crude is slightly lower. Gold, silver, copper, coffee, cocoa, cotton and sugar are higher.

Soybean futures continue higher. SN-SX is near +168. Old crop supported by strong US domestic basis. New crop continues to find resistance from favorable US spring planting weather. Argentina lowered their soybean crop to 23 mmt vs USDA 27. Record large Brazil crop could attract more China business vs US. Weekly US soybean export sales are est near 250-600 mt vs 155 last week. Soyoil futures down on slow increase in US biofuel production.

Corn futures are slightly higher. Trade still debating USDA April numbers vs reality. US corn export and feed and residual could be higher which suggest lower carryout. Argentina lowered their corn crop to 32 mmt vs USDA 37. Large Brazil crop and increased Ukraine exports may offset the lower Argentina supply. Brazil new crop supply may not be available until July. Weekly US corn export sales are est near 500-1,300 mt vs 1,246 last week.

Wheat futures are lower. Could be some KC-Chicago profit talking. Failure for KWK to trade over 8.85 could also be triggering some selling. Black Sea vessel inspections resumed after short stoppage. Large EU and Russia supplies offers resistance versus 2023 north hemisphere weather support. Weekly US wheat export sales are est near 75-350 mt vs 193 last week.

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.

Latest News & Market Commentary

Explore Special Offers & White Papers from ADMIS

Get Started