Headlines:

  • The USDA Prospective Plantings and Quarterly Grain Stocks reports will be released tomorrow Noon EST
  • Grains extend losses, ahead of  ‘big Friday’
    Friday will be a big day in the grain markets by anyone’s definition, bringing the end of the week, the month, and the quarter, along with one of the most important data releases in the year. “Month-end, quarter-end, and pre-report positioning dominate headlines and trading expectations,” said Kim Rugel, at Benson Quinn Commodities. “Market lacks news and enthusiasm this morning trading lower overnight ahead of an expected bearish USDA report,” Ms. Rugel said. “Ag markets continue lower ahead of ‘Big Friday’,” said CRM AgriCommodities.
  • Senate Committee OK’s Perdue for USDA Secretary – The nomination now moves to the full Senate
    Sonny Perdue has been cleared for the role of USDA Secretary by the Senate Ag Committee. On Thursday, U.S. Senator Pat Roberts (R-KS), chairman of the Senate Committee on Agriculture, Nutrition, and Forestry, today announced the committee voted to favorably report nominee Sonny Perdue to serve as the U.S. Secretary of Agriculture. Perdue may now be considered by the full U.S. Senate for confirmation.
  • Cargill profits jump as US meat markets rally
    Rising meat and ethanol demand in the US, and brisk demand for its products in Asia, helped global commodity giant Cargill record booming profits, despite the continued sluggish performance of its grain trading and processing business. The privately held company said adjusted operating earnings rose 50% to $715m in the three months to February 28. Revenue rose 8% year-on-year in the same period, to $27.3bn.

Summary:

While opponents scurry about looking for ways to undermine the current administration, the President continues to pursue fulfilling his campaign promises. Most recently, Brazilian and U.S. officials are in talks about a White House visit by the Brazilian President Michel Temer to discuss bilateral trade and investments. The two leaders had previously discussed deepening commercial and business ties in the middle of the month. Trump’s promises to defend US companies from foreign competition have put Washington’s partners on notice, especially Mexico which has been under pressure to rework its free trade deal with the US. The Brazilian administration is hoping for business opportunities to open up with the US given their economy has been struggling in recession for the past two years.

Corn has been pretty flat all week long ahead of the ‘big reports’ tomorrow. On Friday, the May contract settled at 356.25 and today it settled at 357.75. So, for the week there has only been a 1.50 cent change. Beans posted a sizeable drop on Friday then consolidated the last three days only to fall 7 cents today. It has been oversold for most of the month and may be due for an exhaustive low in the not too distant future. Wheat rounded out the day dropping 5.75 cents and looks to remain the weakest amongst the three markets.