- Markets are lower today, CBOT with 15 mins to go is all in the red and European grains and rapeseed also closed down.
- Chicago’s lower opening uncovered short covering and consumer buying, which preempted some clawback of early losses. Funds were seen as moderate sellers as they eased back their net long summer corn and soybean positions. Favourable US weather and slow exports continue to hang over the markets and still look as if they will cap any rally efforts. Crude oil fell with sharp losses touching $44/barrel, a price last seen late last year. Volumes have been uninspiring and the market is looking for a decline into the close.
- US forecasts continue to offer a cooler and wetter outlook for the Midwest into the latter part of the week with adequate to surplus rainfall and near to above normal temperatures. Evidence of extreme heat or dryness is markedly absent and the forward outlook suggests that corn and soybean ratings could well increase into August month end.
- The Ruble is at 5½ month lows.
- The EU Commission has reduced the EU corn crop to 65.5 million mt with a yield of 7.1 mt/ha, recall last week MARS (the Brussels crop unit) put the crop at 62 million mt with a yield of 6.7 mt/ha basis official area – as MARS does not issue forecasts! ??????? What is the point of having and paying for a crop unit if the data it provides is ignored????? And – what is more – who provides Commission data if MARS does not? Apologies, evening rant now over – for now!