News From The Grain Floor

Business is all about solving people’s  problems — at a profit.”

– Charles Baudelaire

 

USDA announced 140,000 tons of old crop beans sold to unknown

 

Overnight closes

  • SN up 10 at 1408 ¼
  • SX  up 2 ½ at 1214 ½
  • CN up 3 ¼ at 442
  • CZ up 1 ¾ at 441 ¼
  • WN up 5 ¼ at 587
  • WU  up 5 ¼ at 596
  • KC WN up 3 ¼ at 715 ¾
  • KC WU  up 3 at 715 ¾
  • MWN  up 3 ¼ at 687
  • MWU up 3 ¼ at 694
  • SMN up 3.80 at 454.50
  • SMZ up .90 at 390.90
  • BON up 37 at 4005
  • BOZ up 24 at 4009
  • RRN up 4.50 at 1469
  • RRU down 8 at 1393

 

Overnight volume

  • SN 10,580
  • SX 10,486
  • CN 7,455
  • CZ  6,018
  • WN 5,096
  • WU 3,547
  • KC WN 548
  • KC WU 277
  • MWN 74
  • MWU 66
  • SMN 5,425
  • SMZ 2,941
  • BON 9,891
  • BOZ 8,079
  • RRN 65
  • RRU 62

 

Opening calls

  • Old crop beans 8-11 higher
  • New crop beans 2-4 higher
  • Old crop corn 2-4 higher
  • New crop corn 1-3 higher
  • Wheat 5-7 higher
  • KC wheat 2-4 higher
  • Minneapolis wheat 3-5 higher
  • Meal 3.00-4.00 higher
  • Bean oil 30-40 higher
  • Rice 3-5 lower

 

Dollar lower. Crude, gold, silver, and stock market higher .

 

Nikkei up .93%

Hang Seng down .1%

Shanghai Index down .5%

 

Concerns unrest in Iraq continue,  could disrupt oil supplies .

 

Weekly API energy inventory report from yesterday

  • Crude a draw of 5.7 MB expecting a draw of 650,000
  • Gas a draw of 48,000 expecting a draw of 113,000
  • Distillates a build of 531,000 expecting a build of 300,000

 

Today is the second day of the FOMC two day policy meeting. Fed announcement today at 1 pm CST

 

Lack of fresh news this morning

 

China grain closings = beans down 4, corn down 6, meal down 56, palm oil up 36, and bean oil up 18.

 

Malaysian palm oil up 32.

 

China auctioned corn from reserves last night. Have not seen any results yet.

 

Indonesian Palm Oil Association said Indonesia exported 1.7 MMT of palm oil in May up 23% from April

 

Indonesian Palm Oil Association estimated Indonesia’s 2014 palm oil output at 28.0 MMT

 

Indonesian Palm Oil Association estimated Indonesia’s 2014 palm oil exports at 21.0 MMT

 

Japan received no offers in SBS tender for 120,000 tons of feed wheat and 200,000 feed barley for Sept shipment

 

Japan seeks 120,000 tons of feed wheat and 200,000 tons of feed barley via SBS tender for Sept shipment

 

Ukraine Ag Min said as of June 17th Ukraine has harvested 308,400 tons of grain on 113,600 hectares with an average yield of 2.72 TPH vs. 178,000 tons on 79,000 hectares with an average yield of 2.224 TPH a year ago .

 

Cordonnier estimated 2014 US corn yield at 165.0 BPA unchanged from previous estimate

 

Cordonnier estimated 2014 US bean yield at 45.0 BPA unchanged from previous estimate

 

Cordonnier estimated ‘13/14 Brazilian corn crop at 77.0 MMT vs. previous estimate of 74.5 MMT

 

Cordonnier estimated ‘13/14 Brazilian bean crop at 86.5 MMT unchanged from previous estimate

 

Cordonnier estimated ‘13/14 Argentine corn crop at 24.0 MMT unchanged from previous estimate

 

Cordonnier estimated ‘13/14 Argentine bean crop at 55.0 MMT unchanged from previous estimate

 

MARS estimated EU 28 soft wheat yield at 5.81 TPH vs. previous estimate of 5.79 TPH. Unchanged from a year ago and up 4.2% from 5 year average

 

MARS estimated EU28 rapeseed yield at 3.21 TPH vs. previous estimate of 3.12 TPH up 3.7% from a year ago and up 4.8% from five year average

 

Vietnam sold 200,000 tons of rice to Malaysia .

 

Vietnam customs data showed Vietnam exported 671,805 tons of rice in May up 2.8% from a year ago

 

Vietnam customs data showed Vietnam exported 2.7 MMT of rice between Jan – May down 6.6% from a year ago

 

35 bean oil receipts were canceled yesterday afternoon out of Solae Gibson City IL

 

Favorable US Midwest crop weather continues.

 

Moving averages

  • SN 100 day 1416
  • SX 50 day 1228 ¼
  • SX 100 day 1193 ¾
  • KC WN 200 day 709
  • KC WU 200 day 716 ½
  • BOZ 50 day 4067
  • BOZ 100 day 4051
  • SMN 100 day 457.60
  • SMZ 50 day 391.40

 

Open interest as of yesterday’s close

  • Total corn 1,406,151 open, down 10,808
  • Total beans 617,544 open, down 2,012
  • Total meal 318,892 open, down 2,133
  • Total bean oil 340,348 open, down 1,132
  • Total wheat 401,487 open, up 1,728
  • Total KC wheat 139,084 open, up 674

 

Upcoming reports/events

  • Weekly DOE energy inventory report comes out today at 930 am CST. Expecting
    • Crude a draw of 750,000
    • Gas a draw of 550,000
    • Distillates a build of 350,000
  • Weekly US ethanol plant production report comes out today at 930 am CST
  • Weekly US jobless claims report comes out tomorrow at 730 am CST
  • Weekly US export sales report comes out tomorrow at 730 am CST
  • Weekly EIA Nat Gas storage report comes out tomorrow at 930 am CST
  • Surveyors SGS and Intertek come out Friday with their June 1-20th palm oil Malaysian export estimates
  • July options expire on Friday June 20th . Options expire on the close
  • Position day for July futures is Friday June 27th . Traders should be out of long positions by the close or risk delivery.
  • Ramadan begins June 28th
  • USDA stocks and acreage report on June 30th at 11 am CST
  • First Notice Day for July futures is Monday June 30th.

 

Data sources: DowJones , Bloomberg, Reuters , DTN news, barchart.com and CME Group, NYSE