cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Veteran Advisor

Floor Talk, March 10, 2020 (Report Day)

At the close:

At the close, the May corn futures finished 4 3/4¢ higher at $3.77 1/2. July corn futures finished 4 1/2¢ higher at $3.79 1/2.

May soybean futures settled 6 1/4¢ higher at $8.76 3/4. July soybean futures are 5 1/4¢ higher at $8.84 1/4.

May wheat futures finished 3 1/2¢ higher at $5.22 1/4.


May soymeal futures settled $1.50 per short ton higher at $301.90.

 May soy oil futures closed $0.13 cents higher at 27.67¢ per pound.



In the outside markets, the NYMEX crude oil market is $3.09 per barrel higher, the U.S. dollar is higher, and the Dow Jones Industrials are 455 points higher.

Mike

---------

At 11am:

USDA SAYS:

USDA changes very little in the March USDA/WASDE Report.

As a result, the CME Group's farm market's reaction have been muted.

U.S. Ending Stocks
On Tuesday, the USDA pegged the U.S. 2019/2020 corn ending stocks at 1.892 billion bushels vs. the trade's expectations of 1.885 billion bushels and the USDA's February estimate of 1.8982 billion.
For soybeans, the 2019/2020 U.S. ending stocks are estimated at 425 million bushels vs. the trade's estimate of 440 million and the government's February estimate of 425 million.
The U.S. 2019/2020 wheat ending stocks estimate totaled 940 million bushels vs. the trade's expectation of 943 million and the USDA's February estimate of 940 million.

World Ending Stocks
In its report, the USDA estimated the 2019/20 world corn ending stocks at 297.3 million metric tons (mmt.). vs. the trade's expectation of 296.8 mmt. and the USDA's February estimate of 296.8 mmt.
For soybeans, the world's ending stocks estimate is 102.4 mmt. vs. the trade's expectation of 100.4 mmt. and the USDA's February estimate of 98.9 mmt.
In its report, the USDA pegged the world's 2019/2020 wheat ending stocks at 287.1 mmt. vs. the trade's expectations of 288.0 mmt. and the USDA's February estimate of 288.0 mmt.

South America's Production
On Tuesday, the USDA pegged the 2019/20 Brazilian corn crop at 101 million metric tons vs. the trade's estimate of 100.9 mmt. and the USDA's February estimate of 101.0 mmt.
For soybeans, Brazil's 2019/2020 output is pegged at 126.0 mmt. vs. the trade's estimate of 125 mmt., equal to the USDA's February estimate.
In its report, the USDA pegged Argentina's corn crop at 50.0 mmt. vs. the trade's expectation of 50.1 mmt. and the USDA's February estimate of 50.0 mmt.
Argentina's soybean crop is pegged at 54.0 mmt. vs. the USDA's February estimate of 53.0 mmt.

 

TRADE REACTION

Jason Roose, U.S. Commodities says that today's numbers don't change much.

"If we pasted last months USDA's crop report next to today's crop report we would virtually see the same numbers. The exports were left unchanged on corn, while the trade anticipated a drop. This is a mild surprise, giving corn continued support with the all the grains heavily oversold and the funds short. Spot grains sales also giving the grains support on a day of separation from the volatility of the financial markets," Roose says.

Jack Scoville, PRICE Futures Group, agrees that there is not a lot of reaction to today's numbers.

"The world soybean ending stocks are up a bit on the better South American crops and Argentina's government moves to impose higher taxes on imports. Not much of a reaction here and why should there be with the crude oil crisis and the coronavirus crisis still going on. In fact, the report came and went with hardly a blip, so people were not even really paying attention," Scoville says.

 

What say you?

 

Mike

 

 

0 Kudos
3 Replies
Highlighted
Senior Advisor

Re: Well, at least there weren't any overtly negative numbers.

Well,at least there weren't any overtly negative numbers to make things worse.  Be thankful for that. 

 I don't know about you but that 126 M tons of soybeans out of Brazil tells me that China can wait a long time before they will need to buy US beans.  And they have no reason not to.

Highlighted
Contributor

Re: Well, at least there weren't any overtly negative numbers.

We may not be shipping the beans out , But isn't China buying Chickens and pork from us ? I guess my point is , we are shipping the beans indirectly as in feeding what we are shipping . 

As far as Argie - weren't they bone dry not long ago , right before they started harvest ? I know what  I have seen on my beans when it turns dry in Aug : )) 

Isn't it fun ? 

 

0 Kudos
Highlighted
Senior Advisor

Re: Well, at least there weren't any overtly negative numbers.

Chicken  feet ,  are  still  chicken -   I  guess - ?

0 Kudos