• The US has reported its weekly exports as follows:

Wheat; 618,100 mt which is above estimates of 375,000-475,000 mt.
Corn; 982,800 mt which is above estimates of 750,000-950,000 mt.
Soybeans; 1,376,400 mt which is above estimates of 650,000-850,000 mt.
Soybean meal; 116,000 mt which is below estimates of 200,000-350,000 mt.
Soybean oil; 95,800 mt which is above estimates of  30,000-80,000 mt.

• The higher than anticipated exports have left CBOT markets pretty much in positive territory today.

• S American weather continues favourable particularly in Brazil where rainfall is close to normal with temperatures near to below normal. These conditions combine to provide what has been described as almost perfect weather for corn pollination and soybean development. This, with Argentina’s soil moisture described as adequate to surplus, leaves us feeling very comfortable with the potential which exists in the continent.

• In Australia both the grain and oilseed crops have suffered a setback with less than favourable conditions and reported disease issues. Western Australian wheat has received unseasonable rains whilst eastern regions have had frosts to contend with. As a result there have been concerns over both yield and quality which will take time to unfold. Western Australia’s canola (rapeseed) crop is also reported to have heavy sclerotinia infection which can impact yields, possibly as much as 0.5 mt/ha.

• Brussels has again issued another big week of wheat export licences with 638,353 mt granted. The cumulative total now stands at 11.176 million mt, which is 3.55 million mt (46.6%) ahead of last year’s total.

• MATIF wheat in front month positions managed to peak at close to six month highs as farmer selling slowed to a crawl. Forthcoming aid payments to French farmers and their locally held view that they are the only holder of wheat left in the world has strengthened the feeling that there is little pressure for them to sell in the near term, hence today’s peaking prices.