Morning Grain Comments
CURRENT TREND: Shade Higher REASON: Grains garnering brief support on falling dollar, global import activity/crop concerns
EXPORT SALES @ 7:30 AM TOMORROW, CATTLE ON FEED @ 2 PM FRIDAY
MORNING TRIVIA: In the average American household, what accounts for the greatest percentage of total daily water use, at 18.5 gallons/ 27%?
- Quick Editorial: it was a choppy, low-volume overnight session as the market
tried to re-post the gains they couldn’t sustain yesterday; beans remain the
leader over the night hours, now trading more like 3x the volume of corn rather
than double, as the deferred ‘12/13’s lead the way on supply concerns.
- Japanese feed makers have reportedly bought 250,000 tonnes of U.S. and
South American corn to kick off Q1 2013 purchases; this following an equal
amount earlier this week from Ukraine for Nov-Dec shipment. Japanese buyers
are reportedly reluctant to purchase UKR corn for Jan-March, due to several
deliveries in Q1 2012 that were delayed by frozen ports. Brazilian corn is
the favored flavor of the country’s importers at this point thanks to its roughly
$40-per-tonne discount to U.S. supplies, and limited time frame until old-crop
stocks run out soon. South America’s share of Japan’s corn imports is seen at
35% for Q1, up from less than 10% as recently as 2010.
- Japan’s Ag Ministry today issued an SBS tender for up to 120k tonnes of feed
wheat and 200k tonnes of feed barley, for bulk shipment by January 31. The
tender closes a week from today. They only purchased 6.5k tonnes of feed
wheat in a similar/separate tender today…
- South Korea’s MFG tendered for 210k tonnes of corn for Mar-Apr delivery.
- Egypt’s GASC expects its wheat imports to total 4.8 MMT in 2012/13, down
from 5.3 MMT a year ago.
- The Australian Bureau of Statistics reported wheat stocks at 7.1 MMT as of
September 30, down from 8.3 MMT a year earlier and 9.1 MMT on Aug 31.