Written Commentary
MORNING OUTLOOK
USDA report day. Grains are lower. SH is down 5 cents and near 12.63. SMH is near 357.6. BOH is near 54.95. CH is down 1 cent and near 5.85. WH is down 14 cents and near 7.80. KWH is down 12 cents and near 7.99. MWZ is unch and near 10.35.
US stocks are lower. Crude is lower. US Dollar is higher. New EU virus restrictions offering resistance to commodities.
Dalian soybean, corn, palmoil and soyoil futures were lower. Soymeal was higher.
Some long liquidation overnight in front of USDA report. Some look for new buying post report. Some feel bottom line for EPA mandate announcement was a little disapointing/ negative.
US soybean board crush margins lower. Soyoil as pct of crush lowest since April. SH in between 12.53 support and 12.88 resistance. USDA numbers key.
US south plains and Midwest dry. Temps turn warmer. Australia weather improving. EU normal. South 1/3 Braizl and NE Argentina will see mostly dry weather over nexr 7-10 days.
Trade est US soybean carryout at 355 mil bu vs 340. World end stocks 104.4 mmt vs 103.8. Matif rapeseed futures higher. 2022 French acres below 5 year average. Canada canola lower.
Some feel that that CH may be in a 5.60-5.90 range. Dry SA weather could push to 6.25-6.50. Matif corn futures lower following wheat. Trade watching USDA supply and demand changes. Trade est US corn carryout at 1,475 mil bu vs 1,493. World end stocks 304.6 mmt vs 304.4.
US wheat futures lower on new concern about World import demand. Trade watching US and Russia relations and impact conflict would have on wheat exports. Matif wheat futures ended lower on talk of lower EU exports and higher supplies. Latest Russia wheat export prices near $331 up $10. New export tax near $90. Trade est US wheat carryout at 589 mil bu vs 583. World end stocks 276.0 mmt vs 275.8. WH trade below 20 day support near 7.88. KWH tested to day near 7.97.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2021 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
