FI Morning Grain Comments 07/28/20

Jul 28, 2020







PDF attached

 

Corn
and soybean futures are lower on good US crop ratings.  We are hearing some fields will see record corn yields south of Memphis.  August is an important month for soybeans while the US corn crop is basically made. 
Corn
and Soybean Advisory are using 178.5 corn and 51.0 soybeans.  FI is at 180.0 and 50.1. 
China
corn futures traded lower, off a 5- year high, after the government announced effective July 30 bidders will have to pay an extra deposit on trades, and also set delivery requirements to make sure companies where not hording corn supplies.  Egypt is in for
wheat and lowest offer was $215.10/ton for 60k Russian wheat. US wheat futures mixed in Chicago while higher in KC and MN.  Technical buying is seen from heavy selling on Monday. 
Palm
oil traded lower on weakness in global cash prices and Indonesia lowering their 2020 target for biodiesel consumption from 9.6 to 8.3 million kiloliters.  Palm futures are down 6 percent this week and 15 percent for the year.  The ringgit is at a 6-week high
against the USD.  USD
was up 20 earlier this morning, WTI weaker and gold mostly lower.  US weather looks very good over the next week with no excessive high-pressure ridge and no prolonged periods of hot temperatures. 

 

 

 

Weather
and Crop Progress

 

 

7
Day Precipitation Outlook

 

 

 

Bloomberg
Ag Calendar

TUESDAY,
July 28:

  • EARNINGS:
    Minerva
  • HOLIDAY:
    Thailand

WEDNESDAY,
July 29:

  • EIA
    U.S. weekly ethanol inventories, production, 10:30am
  • Vietnam’s
    General Statistics Office releases data on exports of coffee, rice and rubber

THURSDAY,
July 30:

  • USDA
    weekly crop net-export sales for corn, soybeans, wheat, cotton, pork, beef, 8:30am
  • Port
    of Rouen data on French grain exports
  • The
    Australian Grains Industry Conference (online event)
  • Poland
    to publish grain harvest estimates

FRIDAY,
July 31:

  • ICE
    Futures Europe weekly commitments of traders report, 1:30pm (6:30pm London)
  • CFTC
    commitments of traders weekly report on positions for various U.S. futures and options, 3:30pm
  • FranceAgriMer
    weekly update on crop conditions
  • Malaysia’s
    palm oil export data for July 1-31 (tentative)
  • U.S.
    agricultural prices paid, received, 3pm
  • HOLIDAY:
    Singapore, Indonesia, Malaysia

Source:
Bloomberg and FI

 

 

 

 

 

USDA
inspections versus Reuters trade range                                                    

Wheat         
544,010         versus   450000-700000  range

Corn             
797,487         versus   900000-1200000                range

Soybeans   
472,680         versus   350000-700000  range

 

Macros

 

Corn.