Wheat futures gave back most of Monday’s gains.
- Chicago wheat December contract down US2.75cents per bushel to 595.25c;
- Kansas wheat December contract down 5.5c/bu to 552.5c;
- Minneapolis wheat December contract down 5.75c/bu to 548.75c;
- MATIF wheat December contract up €1/t to €210.25;
- Corn December contract up 4c/bu to 420.25c;
- Soybeans January contract up 16.25c/bu to 1169.75c;
- Winnipeg canola January contract up C$4.30/t to $563.60/t;
- MATIF rapeseed February contract up €2.50/t to €410.25;
- Brent crude January down US$0.07 per barrel to $43.75;
- Dow Jones index down 167 points to 29,783;
- AUD weaker at $0.729;
- CAD weaker at $1.311;
- EUR firmer at $1.186.
- With the second vaccine announcement the other day, macro markets have been focused on how distribution time frames will play out. At the most optimistic it seems that “widespread” distribution won’t be viable until a few months into 2021. But it’s hoped other vaccine candidates will also prove viable and allow for more widespread manufacturing of different varieties.
- Markets have gotten slightly excited again about the South American weather maps. Storms are still coming through this week but into the next the outlooks have turned dry.
- In conjunction with the South American weather worries, US new season row crop acreage ideas remain open for discussion. Many are noting the higher bean prices versus last year, and the higher bean/corn ratios, but overall acreage switch ideas continue to vary widely. Planting decisions are not locked in yet
- US HRW winter wheat areas remain dry, with rains through this week mostly forecast across the eastern and north/central parts of Kansas, away from main HRW areas further west and south.
- Rumours are circulating about more Chinese bean and corn purchasing, including talk of August sales, but to date we have not seen anything new confirmed. US export sales flashes did see a new corn sale reported last night, but it was 195,000t of corn to Mexico, not China.
- Cash boards were again softer along the east coast due to harvest being in full swing through NSW and we are starting to see more grower selling
- Harvest delays in WA continue, due to rain. This seems to be affecting the market with bids a touch firmer for early transfers, which will assist with early shipping programs
- Various weather models are predicting mixed forecast for the next 8 days with some forecasting 5-10mm events through SA, which will slow harvest pace down if received
- Early vessels are looking to start loading ex South Australia out of the alternative pathways as we roll into late Nov/early Dec period
Source: Lachstock Consulting
US Thanksgiving Holiday will be celebrated on Thursday 26 November. CBOT markets will close at the end of the days session on Wednesday and reopen at the beginning of the day session on Friday.