Off to Mixed Start in Grains
MORNING AG VIDEO COMMENTARY
Grains are mixed. SN is up 6 cents and near 14.74. SMN is near 456.1. BON is near 54.08. CN is down 1 cent and near 6.34. WN is unch and near 6.92. KWN is down 8 cents and near 8.54. MWN is down 5 cents and near 8.67. US stocks are higher. US Dollar is higher. Crude is higher.
Corn futures are marginally lower. Nearby US domestic cash basis is supported by lower and tighter supply. Export market mixed with China buying US corn but total export commit is behind last year. EU refused Poland and Hungary ban on Ukraine grain imports. Higher Brazil crop offers resistance. CN is tight range overnight near 6.34 moving average resistance. There remains concern about global Food demand due to talk of slower World economy.
Wheat futures are lower led by KC and MLS. Could be some profit taking on long KC vs short Chicago. There were some rains in E KS. West US HRW crop areas are still dry. EU refused Poland and Hungary ban on Ukraine grain imports. KWN did trade over Fridays high overnight but found resistance near 8.70. Support is near 8.45. WN is near 6.95 resistance. MWN is also finding resistance near 8.74. Large EU and Russia supply offers resistance to World wheat prices. World wheat glass continues to be half full.
Soybeans continue to find support from tight US supplies. USDA latest estimate of US 2022/23 soybean carryout is the 7 year low and only 4.8 pct stocks to use ratio. SMN rallied back to near key resistance on lower Argentina supply. Some now estimates Argentina soybean crop closer to 23 mmt vs USDA 25 and 30 ly. Dalian soybean, soymeal, palmoil and soyoil futures were all lower.
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