Written Commentary
MORNING OUTLOOK
TGIF. Grains are mixed. SU is down 1 cent and near 14.37. SX is near14.14. SMU is near 393.7. BOU is near 64.36. CU is up 3 cents and near 6.70. CZ is near 6.59. WU is up 17 cents and near 9.66. KWU is up 11 cents and near 10.22. MWU is up 1 cent and near 10.81.
US stocks are higher. US Dollar is lower. Crude is slightly higher. Gold, silver, copper, sugar and cotton are lower. This week, hard assets were down sharply on recession concerns and US Fed talk of higher rates.
Grain bulls have been hit hard on concern about recession, inflation and benign US Midwest weather. CU and WU are back to pre-Ukraine war invasion prices. US domestic corn and soybean basis are strong. Soybeans and soyoil futures followed. SMU is testing May lows. Next week’s trade all about US 2 week weather forecast, money flow, USDA stocks and acreage report and Quarter end. Managed funds were massive sellers of wheat, corn, soybeans and soyoil on Thursday due to inflation and recession concerns.
Some will be looking for a drop in US corn and soybean ratings next Monday. Spring wheat ratings should improve. Weekly US old crop corn export sales are est near 300-600 mt and new crop 200-600 mt. Soybean sales are est near -100-300 old crop and 50-500 mt new. Wheat sales are est near 150-400 mt. Corn sales remain slower than expected. US soybean sales to China have also slowed. US wheat sales off to a slow start.
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