Corn and soybean markets are higher this morning, led by soybeans which are posting double-digit gains. However, wheat is slightly lower. Soymeal and soyoil markets are higher. Energy markets are also higher this morning, including crude oil which is posting gains of just under $1.50/barrel. The Dollar Index is little changed.
Today’s Reports: Export sales
- Soybeans are higher this morning on thoughts that China has or will cancel Brazilian soybean purchases and replace those canceled purchases with U.S. beans sourced from the PNW.
- Corn futures are benefiting from spillover support from the stronger soy trade.
- There were rumors yesterday of additional Latin American demand for U.S. corn.
- Rains will fall on much of the Midwest today through Sunday with the heaviest totals indicated for southern Missouri and Illinois into Indiana and Ohio. Next week looks cold and dry with below freezing nighttime temperatures reaching into the southern Midwest.
- Today is the last trading day for November options. First Notice Day for November futures is next Tuesday. Long November futures positions will be at risk for delivery after Monday’s close.
- The Buenos Aires Grain Exchange in its weekly report released yesterday estimated that 22% of Argentina’s corn crop had been planted. The report also stated that last weekend’s rains had stabilized the condition of the wheat crop and improved prospects for the 23/24 corn crop.
- Brazilian weather continues to be less than ideal with the recent pattern of too much rain in southern Brazil and hot and dry in northern sections of the country continuing. More flooding is expected the next seven days in southern Brazil as 4 to 10 inches of rain are expected the next several days.
- Ukraine’s Infrastructure Ministry disputed reports that its Black Sea shipping corridor was closed, stating that 23 ships are currently being loaded at Black Sea ports. However, traffic in the corridor appears to be stalled.
The Russian central bank raised its benchmark short term interest rate from 13% to 15% in an attempt to slow inflation