News From The Grain Floor

Good morning

 

Doubt whom you will, but never yourself.
– Christian Nestell Bovee

 

Egypt GASC is in for wheat for February shipment

 

USDA announced 126,000 US corn canceled from unknown

 

USDA announced 405,500 US beans sold to China . 60,000 for ‘13/14 shipment and 405,500 tons for ‘14/15 shipment

 

Overnight closes

  • SH up 9 ¼ at 1327 ¼
  • CH up 3 at 428 ¾
  • WH up 1 ½ at 569 ¼
  • KC WH up 2 at 622 ½
  • MWH up 1 at 615
  • SMH up 4.00 at 438.50
  • BOH down 3 at 3796
  • RRH up 1.50 at 1565.50

 

Overnight volume

  • SH 12,548
  • CH 11,478
  • WH 10,337
  • KC WH 358
  • MWH 254
  • SMH 4,587
  • BOH 6,463
  • RRH 58

 

Opening calls

  • Beans 7-10 higher
  • Corn 2-4 higher
  • Wheat 1-2 higher
  • KC wheat 1-3 higher
  • Minneapolis wheat 1-2 higher
  • Meal 3-5 higher
  • Bean oil steady – 5 lower
  • Rice 1-2 higher

 

Gold and silver higher. Crude, dollar , and stock market lower

 

Nikkei down .4%

Hang Seng up .4%

Shanghai Index up .1%

 

Weekly US jobless claims report came out this morning at – 2K to 326K expecting 331K

 

China grain closings – beans up 23, corn down 1, meal up 16, bean oil up 10, palm oil up 38

 

Palm oil up 7

 

TALK China bought 1 cargo of US beans for Feb shipment

 

TALK Brazil will continue to seek/buy US HRW wheat

 

TALK China was seeking / buying South American soybean cargoes for April forward shipment yesterday

 

TALK China was seeking ‘14/15 US beans yesterday .

 

Egypt FIHC bought 37,000 sunflower oil for Feb shipment

 

Philippines bought 40K Argentine meal

 

South Korea NOFI bought 70K US corn for May shipment

 

South Korea NOFI bought 65K optional origin wheat for May shipment

 

Japan bought 105,019 tons of wheat for Feb – March shipment

  • 55,263 tons of Canadian western red spring wheat
  • 28,961 tons of US dark northern spring wheat
  • 20,795 tons of US HRW wheat

 

Tunisia seeks 117,000 soft milling wheat , 109,000 durum wheat, and 75,000 feed barley optional origin Feb-March

 

Mato Grosso Brazil bean harvest 3-5% complete

 

Parana Brazil bean harvest about 2% complete

 

Strategie Grains estimated EU28 soft wheat crop at 137.7 MMT vs. previous estimate of 138.0 MMT

 

Strategie Grains estimated EU 28 barley crop at 54.8 MMT vs. previous estimate of 54.5 MMT

 

Strategie Grains estimated EU 28 corn crop at 64.8 MMT vs. previous estimate of 64.7 MMT

 

20 new rice receipts were registered yesterday afternoon

 

20 rice deliveries with the date at 1/13/14

 

March corn 50 day moving average is 429 ½
Favorable Brazilian weather continues – Hot and dry weather in forecast

 

Hot and dry weather in Argentina through Saturday . Cooler temps and scattered showers in forecast for Sunday – Monday

 

Weekly US export sales report

  • Wheat ‘13/14 319,900 ‘14/15 82,000 expecting 350-600K
  • Corn ‘13/14 821,000 expecting 300-550K
  • Beans ‘13/14 701,500 ‘14/15 525,300 expecting 750K – 1.0 M
  • Meal ‘13/14 234,700 expecting 50-150K
  • Bean oil ‘13/14 16,900 expecting 0-30K

 

Export highlights

  • Wheat – Net sales of 319,900 MT for delivery during the 2013/2014 marketing year were up noticeably from the previous week, but down 20 percent from the prior 4-week average. Increases were reported for Venezuela (131,700 MT), Mexico (61,000 MT), China (58,800 MT, including 55,000 MT switched from unknown destinations and decreases of 300 MT), South Korea (29,700 MT), and Thailand (25,900 MT). Decreases were reported for unknown destinations (37,000 MT) and Brazil (28,500 MT). Net sales of 82,000 MT for 2014/2015 were reported for the Philippines (45,000 MT), Nigeria (24,000 MT), and South Korea (13,000 MT). Exports of 586,800 MT were up 41 percent from the previous week and 53 percent from the prior 4-week average. The primary destinations were China (178,800 MT), Brazil (64,500 MT), Mexico (61,600 MT), Thailand (52,900 MT), and Japan (52,600 MT).
  • Corn – Net sales of 821,000 MT for 2013/2014 were up noticeably from the previous week and 26 percent from the prior 4-week average. Increases were reported for Egypt (265,500 MT), Japan (248,100 MT, including 64,900 MT switched from unknown destinations and decreases of 56,300 MT), Mexico (195,700 MT), Taiwan (63,500 MT), and South Korea (58,900 MT). Decreases were reported for China (169,800 MT) and unknown destinations (15,800 MT). Exports of 674,500 MT were up 12 percent from the previous week, but down 23 percent from the prior 4-week average. The primary destinations were Japan (226,100 MT), Mexico (148,900 MT), South Korea (58,800 MT), Egypt (41,500 MT), and Colombia (34,900 MT).
  • Beans – Net sales of 701,500 MT for 2013/2014 were up noticeably from the previous week and 32 percent from the prior 4-week average. Increases were reported for China (678,200 MT, including 233,000 MT switched from unknown destinations and decreases of 142,900 MT), Mexico (84,100 MT), Spain (68,200 MT, including 57,100 MT switched from unknown destinations), Portugal (67,800 MT, including 65,000 MT switched from unknown destinations), and Bangladesh (50,000 MT). Decreases were reported for unknown destinations (402,700 MT), and Colombia (16,400 MT). Net sales of 525,300 MT for 2014/2015 were reported for China (512,000 MT), Mexico (10,800 MT), and Japan (2,600 MT). Exports of 1,563,200 MT were down 7 percent from the previous week, but up 2 percent from the prior 4-week average. The primary destinations were China (1,086,600 MT), Spain (128,200 MT), Portugal (67,800 MT), Mexico (45,400 MT), and Taiwan (35,500 MT).
  • Meal – Net sales of 234,700 MT for 2013/2014 were up noticeably from the previous week and from the prior 4-week average. Increases were reported for Vietnam (77,000 MT), Mexico (58,500 MT), Venezuela (57,000 MT, including 25,000 MT switched from unknown destinations), Thailand (45,000 MT, switched from unknown destinations), and Canada (37,100 MT). Decreases were reported for unknown destinations (62,400 MT). Exports of 185,800 MT were down 46 percent from the previous week and 34 percent from the prior 4-week average. The primary destinations were the Philippines (53,500 MT), Vietnam (45,900 MT), Venezuela (25,000 MT), Canada (22,100 MT), and Mexico (16,800 MT).
  • Bean oil – Net sales of 16,900 MT for 2013/2014 were down 50 percent from the previous week and 46 percent from the prior 4-week average. Increases were reported for Mexico (5,500 MT), Malaysia (4,000 MT), the Dominican Republic (3,700 MT), Chile (2,000 MT), and Panama (1,000 MT). Decreases were reported for Canada (100 MT). Exports of 15,000 MT were up noticeably from the previous week, but down 24 percent from the prior 4-week average. The primary destinations were Egypt (9,000 MT), Mexico (3,700 MT), Canada (1,000 MT), and the Dominican Republic (900 MT).

 

Open interest as of yesterday’s close

  • Total corn 1,295,703 open, up 15,500
  • Total beans 593,361 open, down 1,031
  • Total meal 275,627 open, up 1,232
  • Total bean oil 366,085 open, up 2,909
  • Total wheat 425,029 open, up 2,365
  • Total KC wheat 157,427 open, up 253

 

Upcoming reports and events

  • Weekly EIA Nat Gas storage report comes out today at 930 am CST expecting – 301 billion (record)
  • Malaysian palm oil markets are closed tomorrow for public holiday
  • Weekly COT report comes out tomorrow at 230 pm CST
  • US markets are closed Monday Jan 20th for Martin Luther King Jr. Holiday
  • Surveyors SGS and Intertek come out on Monday with their Malaysian palm oil export estimates Jan 1-20th
  • China’s Lunar New Year starts Jan 30th