Grains May Follow Crude Oil Lower Today
Another lower start is indicated in all pits this am, 5-10 in wheat, 7-10 in corn and 20 in beans. Crude oil is sharply lower again this am, as are grain prices at the Dalian, China futures market. The $ is about unchanged while Malaysian palm oil fell 172 ringgit today. One can expect more pressure from these outside markets today, especially if crude oil remains sharply lower again.
The weekly crop ratings yesterday afternoon showed corn and beans both unchanged from the previous week in the good to excellent catagories, 61% and 57%, respectively. Development remains well behind normal with only 19% of the corn crop mature vs 44% average and just 21% of the beans dropping leaves, a sign of maturity, vs 41% average. Winter wheat planting is off to a slow start with 11% done against 16% average.
ABARE, the Australian version of the USDA, cut their wheat crop guess to 22.5 million tonnes vs 23.7 million previously. They warned further cuts are likely unless improvement is seen in rainfall which has been spotty the last several months.
Rain is still expected Thur-Fri in at least some parts of the very dry Argentine wheat belt, where it will be very welcome. Warm and dry weather in the Canadian prairies the next 5 days should allow late crop development and harvesting to proceed.
Meteorlogix Weather says the corn belt was mostly dry the last 24 hours. They forecast warm and mostly dry weather over most of the belt the rest of this week with the 6-10 day calling for more of the same. This is ideal for further crop development with no current threat of any freezing temps. The delta will also enjoy warm and dry weather the rest of this week with the 6-10 day calling for more of the same, allowing for harvest activity to finally speed up after its very slow start this season.
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Vic Lespinasse discusses last Friday's USDA report along with current market fundamentals to watch.
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The weekly crop ratings yesterday afternoon showed corn and beans both unchanged from the previous week in the good to excellent catagories, 61% and 57%, respectively. Development remains well behind normal with only 19% of the corn crop mature vs 44% average and just 21% of the beans dropping leaves, a sign of maturity, vs 41% average. Winter wheat planting is off to a slow start with 11% done against 16% average.
ABARE, the Australian version of the USDA, cut their wheat crop guess to 22.5 million tonnes vs 23.7 million previously. They warned further cuts are likely unless improvement is seen in rainfall which has been spotty the last several months.
Rain is still expected Thur-Fri in at least some parts of the very dry Argentine wheat belt, where it will be very welcome. Warm and dry weather in the Canadian prairies the next 5 days should allow late crop development and harvesting to proceed.
Meteorlogix Weather says the corn belt was mostly dry the last 24 hours. They forecast warm and mostly dry weather over most of the belt the rest of this week with the 6-10 day calling for more of the same. This is ideal for further crop development with no current threat of any freezing temps. The delta will also enjoy warm and dry weather the rest of this week with the 6-10 day calling for more of the same, allowing for harvest activity to finally speed up after its very slow start this season.
Get Vic's Latest FREE Report
Vic Lespinasse discusses last Friday's USDA report along with current market fundamentals to watch.
Click here to get this timely report NOW!
posted by InsightPublishing at
8:25 AM
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