Overnight markets:

Wheat, corn, canola and soybeans all show strength.

• CBOT wheat up 6.75c to 449.75c,
• Kansas wheat up 6c to 448c,
• corn up 1.75c to 350c,
• Soybean up 4.5c to 980.5c,
• Winnipeg Canola up $C0.8 to $C492.9,
• Matif canola up €1.25 to €367.25.
• The Dow Jones up 41.79 to 22412.59 ,
• Crude Oil up US6c to US$50.75,
• AUD down to 0.8025c,
• CAD up to 1.2335c, (AUDCAD 0.98956)
• EUR down to 1.1879c (AUDEUR 0.6754).

Wheat

The range-bound boredom continues for wheat with another close just shy of US450cents/bushel for Dec Chicago. The Russian cash market held onto yesterday’s strength after the most recent GASC (Egyptian) tender, whilst quiet logistical concerns remain as barley and corn continue to compete for export space. Rainfall and frost remain the talking points in AUS with a well-timed drink set to arrive in WA over the next week. The level of frost damage on the east coast is yet to be determined but the effects should start to show as the temperatures rise over the next few weeks.

Corn

The corn market capped out at US350c/bu after stories of questionable yields slowed things down. The excessive rainfall in Argentina and the dry spell in Brazil are providing the market with somewhat of a floor as the markets continue to stay afloat. Wet weather is on the horizon towards the end of September across the Central and Southern Plains and making its way into the central Corn Belt in the US.

Soybeans

Soybeans remain supported despite the questions being raised around the recent USDA forecast. Export demand remains strong which will continue to provide support. A wet Argentina and dry Brazil is creating concerns regarding production which is going a long way to supporting the soybean market.

Australia

Source: Lachstock Consulting