A higher start is indicated this am, roughly 2-3 wheat and corn, 7-10 beans. The outside markets aren't providing any guidance for the grains this am with the $ slightly lower along with crude oil while equities are slightly higher.

The Census Bureau July crush was 129.4 million bushels, a bit higher than expected. Oil stocks were 3.338 billion lbs and meal stocks were 350,000 short tons. Weekly export sales were poor for oil at minus 400 tonnes old crop and plus 3500 tonnes new crop. Corn sales were in line at 266,000 tonnes old crop and 707,000 tonnes new crop. Wheat sales were higher than expected at 653,000 tonnes. Bean sales were very good at 88,000 tonnes old crop and 1.966 million tonnes new crop. Meal sales were good at 68,000 tonnes old crop and 100,000 tonnes new crop. China accounted for 1.53 million tonnes of the new crop bean sales with 303,000 tonnes of new crop beans sold to an unknown destination, also likely China.

The Argentine farmers strike starts tomorrow and is supposed to last 1 week. During this time, farmers supposedly will refrain from selling any grain or livestock. This is potentially bullish for US bean exports and prices, especially if the strike lasts more than one week.

Improved monsoon rains over the last week were seen in India and more very beneficial rain is forecast the next several days in several of the main growing areas. The drought in Argentina's wheat and corn growing regions continues, especially in the western areas. Much hotter than normal temps are predicted today through Saturday.

The US Midwest saw rain over the last 24 hours in scattered locations, up to 2" in the southwest part of the belt and up to 1" in the east. More rain is forecast today in the west, today-Friday in the east, up to an additional 1.5". Colder temps are predicted along with dry conditions this weekend into early next week. ---Vic Lespinasse