FI Morning Grain Comments 09/15/20

PDF attached

 

Morning. 

 

USDA
announced additional sales

two
more…WASHINGTON, September 15, 2020–Private exporters reported to the U.S. Department of Agriculture the following activity:

–Export
sales of 132,000 metric tons of soybeans for delivery to China during the 2020/2021 marketing year;

–Export
sales of 132,000 metric tons of soybeans for delivery to unknown destinations during the 2020/2021 marketing year; and

–Export
sales of 120,000 metric tons of corn for delivery to unknown destinations during the 2020/2021 marketing year.

 

Hurricane
Sally is expected to make landfall soon across FL and AL.  Higher start to the day for the US soybean complex on follow through buying amid China demand and US crop conditions.  Grains are lower on light harvesting pressure for corn and planting progress for
US winter wheat.  US crop conditions fell 2 points for soybeans and one point for corn.  Trade was looking for unchanged for both.  USD was down 26 points earlier and WTI crude oil up about $0.53. 
Malaysian
palm was up again by roughly 48MYR and cash up $2.50/ton.  SGS Sep 1-15 palm oil shipments 745,565 ton, up 12.2% from previous month.  Japan seeks 104,870 tons of milling wheat.  Taiwan’s MFIG seeks corn while South Korea’s SPC seeks 38,000 tons of US and/or
Canadian wheat.  Ethiopia is in for 200,000 tons of wheat.  Turkey saw offers for 500,000 tons of wheat and Pakistan got offers for 170,000 tons of wheat.  Argentina’s coop association booked a large 883,000 tons of Argentina’s export licenses overnight, busiest
day since August 25.  China’s August pig herd was up 31% from year ago. 
US
temperatures will be drier and warmer this week, facilitating harvesting progress. 

 

 

 

Weather
and Crop Progress

 

 

 

Hurricane
Sally continues to slowly advance towards far southeastern Louisiana, southeastern Mississippi, and southwestern Alabama. The center of the storm will likely make landfall near the Mississippi and Alabama border late Tuesday or early Wednesday morning. The
system will be at least a Category 2 hurricane based on the Saffir-Simpson Scale. It may briefly become a Category 3 though (max sustained winds of at least 111 mph) before landfall occurs. Personal property damage and some crop damage will occur as a result
of the wind, storm surge, and associated flooding rainfall near and where the system makes landfall. Remnant heavy rain from the system will then be mostly limited to the southeastern states through Thursday where fieldwork delays will occur as a result. Concern
remains over open boll cotton quality in the southeastern states due to the associated heavy rain as well.

Source:
World Weather Inc. 

 

 

 

Bloomberg
Ag Calendar

TUESDAY,
Sept. 15:

• Australia’s
  Abares releases quarterly agricultural commodities report
• Malaysia
  palm oil export data for Sept. 1-15
• France’s
  agriculture ministry to publish crop estimates
• World
  Agri-Tech Innovation Summit, Sept. 15-16
• New
  Zealand global dairy trade auction
• HOLIDAYS:
  El Salvador, Guatemala, Honduras, Nicaragua

WEDNESDAY,
Sept. 16:

• EIA
  U.S. weekly ethanol inventories, production, 10:30am
• FranceAgriMer
  supply and demand estimates
• Future
  Food-Tech conference, Sept. 17-18
• HOLIDAYS:
  Malaysia, Mexico

THURSDAY,
Sept. 17:

• USDA
  weekly crop net-export sales for corn, soybeans, wheat, cotton, pork, beef, 8:30am
• USDA
  total milk production for August, 3pm
• Port
  of Rouen data on French grain exports
• Biosev
  SA 1Q 2021 earnings

FRIDAY,
Sept. 18:

• 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

Source:
Bloomberg and FI