- Location
- Lincolnshire
- US markets close – soybeans lower as lack of resolution to current trade war and talk of higher US yields weigh on values. Corn lower on weakness linked to approaching harvest. Wheat mixed as Egypt purchased mostly Russian wheat in their tender.
- Yesterday’s weekly export inspections had US wheat exports running 35% behind y/y, with the USDA currently forecasting a 14% increase. Corn is unchanged y/y (a 5% increase forecasted), and soybean 3% behind y/y (a 3% decline forecasted).
- US Ag Secretary says farm aid program will be implemented on September 4th, with the USDA saying impact of retaliatory tariffs estimated at $12bln.
- US 11-16 day forecast continues to hold average temperatures for the Midwest and Plains, average to a bit lower average rainfall is seen from the Midwest, below average for the Plains.
- US and Mexico agreed on Monday to overhaul the NAFTA, putting pressure on Canada to agree to the new terms on auto trade and other issues, to remain part of the three-nation pact.
- Brazil’s Supreme Court will rule as soon as possible on several challenges to the constitutionality of a law imposing minimum freight prices, but no ruling will come soon, the Supreme Court Justice commented.
- India can capture the Chinese commodity market vacated by US exports following the trade war between the world’s two biggest economics, a commerce department study has found.
- Egypt’s GASC purchased 350,000t (290,000t Russian/60,000t Ukrainian) for 11-20 shipment. Prices paid were about $8/t cheaper than previous tender. Almost 1mln t of Russian wheat was offered, with a cargo of US HRW wheat also offered, albeit at a $30+/t premium.
- In a monthly crop report on Monday, the EU’s crop monitoring unit (MARS) cut its forecast of the EU’s 2018 grain corn yield to 7.57t/ha, from 7.64t seen last month. The unit also cut its forecast of the soft wheat yield to 5.70t/ha from 5.82t last month.
London Nov ’18 Settle £177.20/t – down £2.45/tonne from previous close
Paris Dec ’18 Settle €198.25 – down €0.75/tonne from previous close
CBOT Nov ’18 Soybeans Settle - $8.3325/bushel – down 15.00 cents/bushel from previous close
CBOT Dec ’18 Corn Settle - $3.5625/bushel – down 5.25 cents/bushel from previous close
CBOT Dec ’18 Wheat Settle – $5.2325/bushel – up 0.75 cents/bushel from previous close
Currency Today:
GBP EUR 1.1025
GBP USD 1.2875
EUR GBP 0.9065
EUR USD 1.1670