The Morning Vibe
02/09/11 -- A heavy sell-off in the Chicago grains last night appears to have flushed out a few bottom pickers this morning with Globex wheat, corn and beans all up around 5-8 cents.
Where are we for the week so far? Including latest overnight action Sep CBOT wheat is down 38 cents, corn down 14 1/4 cents and beans up 14 3/4 cents.
Informa become the latest private analyst to release their yield and production estimates mid-session this afternoon. Latest weather forecasts for the long weekend may also help fashion market direction after lunch.
This afternoon also sees the release of the important US August jobs numbesr. A big jobs report if you like. The market is hoping for non-farm payrolls to have increased by 90,000 - but I have a funny feeling that it will be significantly less than that. That could see Wall Street under pressure this afternoon which may spill over into the grains.
Libya bought 50,000 MT of Russian wheat overnight. Thanks for releasing the money France, but your can stick your expensive wheat where the soleil don't shine.
Poor old Ukraine, all that grain to sell but nobody wants it after you've been stitched up by the government once again. The only thing to do is plant some more, and that's exactly what they're doing with winter rapeseed sowings already past the halfway point. How long before we see reports in the press that growers there say that winter plantings will be down due to lack of funds?
Nov London wheat has opened GBP0.30/tonne easier at GBP172.45/tonne, still that's GBP0.70/tonne higher on the week hardly matching Chicago's 38 cent drop.