Monday March 7, 2022

  • The effects of war continues to be evident in the market as we start off this week 
  • This is the first day of new extended limits on wheat – now $0.85/bu – if we close up or down these limits they will be extended again to $1.35/bu
  • Markets seem to be slightly more subdued to start this week – perhaps feeling as though last week effectively priced in enough risk into the market for the near term 
  • The smaller than expected soybean crop coming out of Brazil may impact Chinas plans on seizing Taiwan 
    • China is carefully gauging the global reaction to Russia’s war on Ukraine and at this point they are not ready to risk global trade sanctions coming from the West 
  • China is also facing the worth winter wheat conditions they have seen in 20 years 
  • USDA report will be out Wednesday – again the most attention will be paid to the size adjustments made to South American production