Friday September 6, 2024

• CBOT trade volume decreased significantly overnight with the two week rally facing bearish overall fundaments
• Corn is flat, wheat and soybean futures are in the red this morning.
  • November soybean futures fell under pressure early in yesterday’s trade but fought back, closing higher for a fifth consecutive day
  • Yield estimates from both USDA and private groups remain strong putting pressure on the CBOT
  • China has shown an interest in US beans lately, which is mostly normal for this time of year
  • Flash Sale of soybeans to China and unknown destinations reported on Thursday morning, 126K MT and 189K MT 
• USDA drought monitor released yesterday, below are the areas experiencing drought in the US:
  • The majority of the Corn Belt experienced above seasonal temperatures with minimal rainfall last week.  Drought conditions worsened in many states
  • Corn 13%
  • Soybeans 19%
  • Winter wheat 52%
  • Spring Wheat 22%
  • Cattle 24%
• US ethanol production decline last week
• As the Mississippi river shrinks, barge rates increase.  Some areas of the river have seen a rate increase of almost 20%
• Russia has declared a state of emergency in the Tomsk region of Siberia due to wet and cold weather early in the growing season