CBOT Early Call
The overnights closed lower, with beans and corn mostly down 2-3 cents and wheat generally around 6-7 cents lower.
Crude oil is almost USD2 weaker at USD76.31/barrel, whilst the dollar is firmer.
Tropical storm Alex will turn into a hurricane but will avoid the current oil spill area in the Gulf making landfall on the Texas/Mexico border. The API are expected to cut their US crude oil stocks estimate by a million barrels today. Traders estimates have proven to be well off the mark the past few weeks though, so don't be surprised if we get another weekly increase.
The trade is unlikely to do anything dramatic to the upside ahead of tomorrow's USDA reports, and probably a further drift lower is on the cards this afternoon.
The USDA as expected dropped their crop condition ratings a little for corn, soybeans and winter wheat last night.
US weather forecasts call for cooler than normal conditions as we enter July, that isn't being seen as an issue as we enter key corn pollination period which will occur over the next 2-3 weeks.
China sold around half of the near 1.6 MMT of corn it had up for auction today. US corn is still cost-effective in the south, the first consignment of US GMO corn that arrived last week has apparently been discharged without a problem.
The USDA have just announced that China bought 230,000 MT of US soybeans for 2010-11 delivery.
The USDA last night said that the winter wheat harvest in Kansas had made great strides to past halfway done last week.
Reports suggest that recent wet weather means that vomitoxin is going to be a problem in wheat in some parts of the Midwest this year.
China buying more US beans might help make them the strongest leg of the complex this afternoon, corn will be underpinned by already close to 9-month lows, but expectations of an acreage increase tomorrow will weigh. Wheat looking to go lower on harvest pressure and continued evidence that US wheat is still expensive relative to Black Sea and EU origins.
Early calls for this afternoon's CBOT session: Corn called 1 to 3 lower; Soybeans called 1 to 3 lower; Wheat called 4 to 6 lower.
Crude oil is almost USD2 weaker at USD76.31/barrel, whilst the dollar is firmer.
Tropical storm Alex will turn into a hurricane but will avoid the current oil spill area in the Gulf making landfall on the Texas/Mexico border. The API are expected to cut their US crude oil stocks estimate by a million barrels today. Traders estimates have proven to be well off the mark the past few weeks though, so don't be surprised if we get another weekly increase.
The trade is unlikely to do anything dramatic to the upside ahead of tomorrow's USDA reports, and probably a further drift lower is on the cards this afternoon.
The USDA as expected dropped their crop condition ratings a little for corn, soybeans and winter wheat last night.
US weather forecasts call for cooler than normal conditions as we enter July, that isn't being seen as an issue as we enter key corn pollination period which will occur over the next 2-3 weeks.
China sold around half of the near 1.6 MMT of corn it had up for auction today. US corn is still cost-effective in the south, the first consignment of US GMO corn that arrived last week has apparently been discharged without a problem.
The USDA have just announced that China bought 230,000 MT of US soybeans for 2010-11 delivery.
The USDA last night said that the winter wheat harvest in Kansas had made great strides to past halfway done last week.
Reports suggest that recent wet weather means that vomitoxin is going to be a problem in wheat in some parts of the Midwest this year.
China buying more US beans might help make them the strongest leg of the complex this afternoon, corn will be underpinned by already close to 9-month lows, but expectations of an acreage increase tomorrow will weigh. Wheat looking to go lower on harvest pressure and continued evidence that US wheat is still expensive relative to Black Sea and EU origins.
Early calls for this afternoon's CBOT session: Corn called 1 to 3 lower; Soybeans called 1 to 3 lower; Wheat called 4 to 6 lower.