News From The Grain Floor

Good morning

 

You hear about how many fourth quarter comebacks that a guy has and I think it means a guy screwed up in the first three quarters.

Peyton Manning

 

USDA announced 204,000 tons of corn sold to Egypt for ‘13/14 shipment

 

US markets are closed on Monday for Martin Luther King Jr. holiday. Electronic grain markets will open Monday at 7 pm CST.

 

Informa comes out today at 1030 am CST with their 2014 US acreage estimates . Previous estimates were

  • Corn estimated at  91.846 MA vs. USDA 2013 acreage of 95.4 MA
  • Beans estimated at 81.929 MA vs. USDA 2013 acreage of 76.5 MA
  • All wheat estimated at 57.855 MA vs. USDA 2013 acreage of 56.156 MA
  • Cotton estimated at 10.651 MA vs. USDA 2013 acreage of 10.407 MA

 

Overnight closes

  • SH down 9 at 1306
  • CH down 2 ¼ at 425 ¾
  • WH down 2 ½ at 570 ¼
  • KC WH down 2 at 627 ½
  • MWH down 1 at 623
  • SMH down 3.40 at 428.60
  • BOH down 24 at 3781
  • RRH up 1 at 1559

 

Overnight volume

  • SH 9,416
  • CH 4,652
  • WH 5,302
  • KC WH 593
  • MWH 281
  • SMH 4,397
  • BOH 5,238
  • RRH 10

 

Opening calls

  • Beans 7-10 lower
  • Corn 2-4 lower
  • Wheat 2-4 lower
  • KC wheat 1-3 lower
  • Minneapolis wheat steady lower
  • Meal 3.00-4.00 lower
  • Bean oil 20-30 lower
  • Rice steady higher

 

Crude , gold, silver, stock market, and dollar higher.

 

Nikkei down .1%

Hang Seng up .6%

Shanghai Index down .9%

 

China grain closings – beans up 14, corn unchanged , meal down 1, palm oil down 26, bean oil down 18

 

Malaysian palm oil markets closed today for holiday.
Bangladesh seeks 3,000 tons of bean oil for Feb shipment

 

India MMTC tenders to sell 120,000 tons of wheat for Feb-March shipment

 

Taiwan MFIG bought 60K US corn for March shipment

 

Hearing Brazil bought 2-3 US HRW wheat cargoes this week

 

South Korea may have first case of bird flu since 2011

 

Bunge Brazil, a subsidiary of U.S. based Bunge Ltd BG.N, said it is closing a soy processing plant in southern Rio Grande do Sul state this week, saying Brazil’s tax structure favors the export of raw soybeans.- Reuters

 

Japan bought 42,740 wheat and 29,505 barley via SBS tender for Feb-March shipment

 

Favorable Brazilian weather

 

Much needed rains in forecast for Argentina

 

March corn 50 day is 429 ½

 

9 bean receipts canceled out of CIRM Chicago IL

 

Buenos Aires Grains Exchange weekly Argentine crop report

  • ‘13/14 bean area estimated at 20.35 MH vs. previous estimate of 20.45 MH
  • Bean planning 96.2% complete vs. 90.9% a week ago
  • Corn area estimated at 3.3 MH
  • Corn planting 86% complete vs. 82.8% a week ago
  • Wheat harvest is complete
  • Estimated wheat crop at 10.1 MMT
  • Estimated average wheat yield at 2.97 TPH up 5.7% from a year ago

 

Option players from yesterday

 

Corn:

Rosenthal bot 1500 K 400 puts

JPM bot 1000 N 520 calls/sold 1000 N 400 puts/sold 340 CN

JPM sold 500 week 1 420 puts

ICAP sold 800 K 440 straddles

Tenco bot 700 H 420 puts/bot 252 CH

FI bot 1000 short dated U 400 puts

 

Beans:

FI sold 4000 H 1280 puts

Rand bot 1000 X 1060 puts/bot 300 SX

Tenco bot 1500 short dated K 1170 calls/sold 210 SK

Tenco bot 1000 short dated H 1170 calls/sold ? SX

Newedge bot 2000 H 1280 puts

Bunge bot 600 H 1200 puts

ADM bot 600 H 1300 puts

ADM bot 600 G 1300 puts

ADM sold 500 X 1240-1400 call spreads

 

Wheat:

ADM sold 800 Z 640-700 call spreads

ADM bot 400 KWZ 640 calls/sold 400 WZ 700 calls

Rosenthal sold 400 H/K -10 cso puts

 

Meal:

JPM sold 150 H 410-400 put spreads

 

Oil:

Bunge sold 200 K 37 ½ puts

Macquarie sold 250 H 37 puts/bot 250 G 37 puts

Newedge bot 200 H 37 ½ puts/sold 200 G 37 ½ puts/sold 200 K 40 calls

 

Crush and oil share players from yesterday

Tenco sold 530 March crush at 55

ADM bought 200 March oil / meal at 30.25-30.53%

FC Stone bought 200 May oil / 110 meal at 31.25%

 

Upcoming reports and events

  • Weekly COT report comes out today at 230 pm CST
  • Surveyors SGS and Intertek come out on Monday with their Malaysian palm oil export estimates Jan 1-20th
  • Weekly US export inspections report will come out on Tuesday at 10 am CST
  • Feb options expire Friday January 24th
  • China’s Lunar New Year starts Jan 30th