The grain markets are mixed to weaker this morning with wheat and corn futures both on the defensive while soybean futures are trading higher following steep losses on Monday, while bean products are mixed to weaker. The equity markets are higher and finding a much-needed bounce during what has been an ugly month of October. Energy markets are slightly higher and the dollar index has turned higher after trading to a one-month low early in the session.
Today’s Reports: API Energy Stocks
- The EU October PMI dropped to 46.5 from 47.2 in September, indicating more weakness for EU manufacturers. The dollar found renewed buying interest following the poor economic news out of Europe.
- The radar screen is showing thunderstorms rolling across central and eastern WI. Additional rainfall is moving across parts OK and N TX while spotty light showers and even some snow is moving across parts of the N Plains and into the Canadian Prairies.
- Argentine presidential front-runner Massa announced that for the next 30 days, all Argentine exports would be eligible for the same incentive program that benefitted soybean and corn exports. Massa is using his position as the economics minister to bolster his chances of winning the runoff presidential election on Nov 19th.
- The weekly Crop Progress report showed the US bean harvest advancing to 76% harvested, up 14 points from a week ago and well ahead of the 5-year average of 67%.
- The US corn harvest advanced to 59% harvested, also up 14 points for the week. This equals last year’s pace and is ahead of the 5-year average of 54%.
- The winter wheat crop is 77% planted which compares to 78% planted a year ago and the 5-year average of 78%.
- Israel claims they have killed dozens of Hamas fighters during overnight strikes as the military said it hit more than 400 militant targets. On Monday, Hamas released two more hostages bringing the release total to 4.
- Northern Brazil will start seeing scattered showers moving across the region starting later tomorrow and lasting through the weekend. Over the next two weeks, rainfall totals are expected to be near 50% of normal which will continue to leave soil moisture short to very short.