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%?

MARKET HEADLINES

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.