Monday March 11, 2024
- Another flash cancellation of US wheat to China on Friday of 110,000mt
- Friday’s USDA Crop Production Report
- Overall the USDA reported zero change for corn and bean demand/ supply, leading to minimal market movement.
- Brazilian soybean production was lowered but not as much as anticipated.
- Wheat exports lowered by 15mb , increasing carryout to 673mb.
- Next large report will be on March 28, 2024.
- Chinese Imports
- Chinese bean imports were raised on Friday by almost 4mmt for 22/23. Estimates for 23/24 imports increased to 105mmt vs 102mmt last month. With feed demand struggling Chinese domestic crush estimates were left unchanged.
- Last weeks wheat cancellations and reduction in exports pushed wheat spreads wider.
- Russian winter cereal crop rating is positive as they reported only 4% of acres rated poor vs 6% rated poor last year.
- Managed money funds showed lowered activity on the week ending last Tuesday. Corn was up 2.2k net and beans and wheat down from 2-10k net.
- Weekend Rains
- The Midwest starts the week of dry as the rains moved out of the southeastern Midwest and the plains of the weekend. Argentina and Brazil both saw rains over the weekend, with rains continuing into the week for Argentina and rains shifting far north and south for Brazil.