Thursday August 29, 2024

• Soybeans trying to rebound after yesterdays loses, corn trading slightly higher and wheat losing yesterdays momentum
• Statistics Canada production estimates:
  •  All 2024 wheat pegged at 34.4mmt, up from 32.9mmt in 2023 but below the 35.125mmt average.  Wheat production is lower than previously estimated, giving wheat futures some support yesterday
  • Corn production of 15.2mmt was down 1.2% over last year, but above the trade guess of 14.97mmt
  • Soybeans up 2.4% year over year to 7.1mmt, just below trade estimate of 7.2mmt
• China is urging traders to buy less foreign grains amid rising stocks at port.  Corn, barley and sorghum prices in China are near the lowest in years, while stockpiles at Southern ports are near two-year highs
  • China uses import quotas to regulate corn and wheat purchases- slowing imports and increasing domestic use urging China to become less globally dependent 
• Private exporters reported sales of 118,000MT of sorghum for delivery to China during the 24/25 marketing year
  • China is proposing restrictions on imports of Barley and Sorghum to reduce domestic oversupply and improve prices
  • Sorghum imports have nearly doubled this year, compared to last, with the US accounting for 80% of total imports
• Argus this morning estimated French soft wheat exports outside the European Union in July – June at 4.1mmt, down 60% year over year, this is the lowest export number for this time frame in 23 years
• Russian spring wheat quality and quantity problems persist from the excessive wet weather