Written Commentary
ADM Appoints Monish Patolawala as EVP and CFO
July 10, 2024
MORNING AG OUTLOOK
Grains are mixed. SN is near 12.43 after testing 12.54. SMN is near 384.9. BON is near 45.28. CN is up 3 cents and near 4.67 after testing 4.71. WN is up 8 cents and near 7.05 after testing 7.20. KWN is up 13 cents and near 7.34 after testing 7.46. MWN is up 9 cents and near 7.61. US stocks are higher. US Dollar is lower. Crude is higher and near $79. Gold is higher on talk of US Fed rate cut.
SN is near 12.43. US soybean crush demand remain strong, SN board crush hit 100 cents. Rumors of China interest in US summer soybean also offered support. Dalian soybean and soymeal futures were lower. Palmoil and soyoil futures were higher, SN resistance is near 12.50 and 38 pct retracement of drop from 14.21 to 11.40. Some could see final US 2024 soybean acres closer to 87.5 mil acres vs USDA 86.5 and initial US soybean crop ratings above average. Key remains summer US weather.
CN is near 4.66. CN trend is higher but still in a 4.50-4.75 range. 4.81 key resistance. Fact corn is cheaper than wheat could help corn demand. Some could see US exports near 2,400 which adds additional pressure on getting a 180 yield. Plantings should be 86 pct and initial US corn crop ratings above average. Brazil safrina crop weather is dry.
WN is near 7.05. KWN is near 7.34 and highest close since Sep, 2023. 7.50 is next resistance. Some estimate Russia crop at 81-82 mmt vs USDA 88. Some fear more dry and warm weather could drop the crop to 76-78 mmt. Talk last week that South Brazil rains have lowered wheat quality and Brazil may have bought 3-5 cargoes of US HRW wheat offers support. Approaching US winter wheat harvest offers resistance. US consumer is not covered for 2025 and farmer needs to sell at current prices. US HRW could see showers which are not welcomed.
Interested in more futures markets? Explore our Market Dashboards here.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2024 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
