Export Sales in line for wheat; good for corn; slow for beans
A higher start is expected across the floor this am, roughly 5 in wheat and corn, 7-10 in beans. The outside markets point higher with the $ much lower, by itself a bullish influence for all the grains. Crude oil and the equity markets are higher, which will lend additional support to the grains, especially corn and bean oil due to their biofuel link with crude oil. Chinese markets remain closed today for the dragon boat festival.
Weekly export sales were in line for wheat at 104,000 tonnes this crop year and 228,000 tonnes next crop year, starting June 1. Corn sales were good at 756,000 tonnes this crop year and 267,000 tonnes next crop year, starting Sep 1. Bean sales were slow at only 237,000 tonnes this crop year and 227,000 tonnes next crop year, starting Sep 1. Meal sales were very good at 194,000 tonnes this crop year and 173,000 tonnes next crop year, starting Oct 1. Oil sales were poor at just 5300 tonnes.
The International Grain Council cut their estimate of the world corn crop for the 2009-10 year by 7 million tonnes to 771 million tonnes. They cut their guess of ending world corn stocks by 11 million tonnes to 118 million tonnes. In the 2008-09 crop year, the world produced 784 million tonnes of corn with ending stocks of 139 million so this would be a sharp fall in stocks.
Technicals: The charts still look bullish for wheat, beans, meal and oats despite yesterday's mixed results. Corn still appears to be in a sideways, consolidation phase while oil still looks like it is headed lower, all based on daily bar (high, low, close) charts.
Little sign of rain the next several days in Argentina's wheat belt could result in additional stress for this crop.
Early harvest results for US winter wheat are disappointing with poor yields. This is one of the supporting influences in wheat the last week or so as poor yield results continue to be heard out of the southwest. The northern plains spring wheat belt will enjoy favorable planting weather the next several days with mostly dry conditions now forecast most of next week. This is a welcome forecast as it should allow late planting to speed up. The Midwest will be mostly dry the next several days. Up to 1" of rain is forecast over much of the region the first half of next week. This will slow late planting efforts in corn in the east. It shouldn't be much of a problem in the west, where planting is on schedule, nor for beans in the east, where there is still enough time to plant. ---Vic Lespinasse
Weekly export sales were in line for wheat at 104,000 tonnes this crop year and 228,000 tonnes next crop year, starting June 1. Corn sales were good at 756,000 tonnes this crop year and 267,000 tonnes next crop year, starting Sep 1. Bean sales were slow at only 237,000 tonnes this crop year and 227,000 tonnes next crop year, starting Sep 1. Meal sales were very good at 194,000 tonnes this crop year and 173,000 tonnes next crop year, starting Oct 1. Oil sales were poor at just 5300 tonnes.
The International Grain Council cut their estimate of the world corn crop for the 2009-10 year by 7 million tonnes to 771 million tonnes. They cut their guess of ending world corn stocks by 11 million tonnes to 118 million tonnes. In the 2008-09 crop year, the world produced 784 million tonnes of corn with ending stocks of 139 million so this would be a sharp fall in stocks.
Technicals: The charts still look bullish for wheat, beans, meal and oats despite yesterday's mixed results. Corn still appears to be in a sideways, consolidation phase while oil still looks like it is headed lower, all based on daily bar (high, low, close) charts.
Little sign of rain the next several days in Argentina's wheat belt could result in additional stress for this crop.
Early harvest results for US winter wheat are disappointing with poor yields. This is one of the supporting influences in wheat the last week or so as poor yield results continue to be heard out of the southwest. The northern plains spring wheat belt will enjoy favorable planting weather the next several days with mostly dry conditions now forecast most of next week. This is a welcome forecast as it should allow late planting to speed up. The Midwest will be mostly dry the next several days. Up to 1" of rain is forecast over much of the region the first half of next week. This will slow late planting efforts in corn in the east. It shouldn't be much of a problem in the west, where planting is on schedule, nor for beans in the east, where there is still enough time to plant. ---Vic Lespinasse
posted by InsightPublishing at
12:30 PM
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