Headlines:

  • Moscow Says US Rhetoric on Syria Situation Based on ‘Flagrant Lies’
    Russia’s defense ministry made the statement on Tuesday, adding that the US State Department has never backed its empty claims against Russia’s actions in Syria with concrete actions. Washington earlier raised its concerns over Russia’s recent strikes in Syria, US Department of State spokesperson Elizabeth Trudeau said in a briefing. On Tuesday, Russian Defense Minister Sergey Shoigu told President Vladimir Putin that a frigate had fired Kalibr cruise missiles on terrorist targets in the Syrian provinces of Idlib and Homs. “We continue to have these discussions in Geneva… We have raised the issue of bombardment,” Trudeau said when asked whether Washington has raised the issue of airstrikes with Moscow. The CFTC Commitment of Traders report will be released today instead of Friday because of the Veteran’s Day holiday.
  • Wheat buyers ‘step up to the plate’
    Agricultural futures got support from outside markets, helping fuel a turnaround Tuesday for corn and wheat markets. “Macro markets are offering support,” said Kim Rugel, at Benson Quinn Commodities, noting in particular the oil market strength, as well as a flat dollar, after the rally of the previous session. The oil market is rallying on ideas that OPEC may finally nearing an agreement to curtail production. Brent crude oil futures were up 5.7% as Chicago markets closed, baking back the losses of the previous three sessions.

 Summary:

OPEC Members have their next meeting scheduled for November 30th. December Crude Futures reversed off of its low at 42.20 yesterday and continued higher today. The trade has outlined expectations for decisions on steps to stabilize the oil market at the aforementioned meeting. Crude was up almost 6% today. That was its biggest advanced since February 12th of this year.

The crop progress numbers are in and we have Corn 93% harvested which is up 7% from last week’s progress. Soybean is 97% complete, up 4% and Winter Wheat is 94% planted versus 91% from last week. Corn and Soybean rallied and Wheat followed suit. December Corn was up 4.75, January Beans finished up 7.50, and December Wheat jumped 5 points. The US Dollar was initially weaker on the day but once again returned to strength trading just past par. Managed Money still holds high levels of Chicago Wheat short positions so when the short covering commences expect a strong move for Wheat.

Private exporters reported the following activity to the USDA today:

  • Export sales of 121.5k metric tons of Soybeans for delivery to China for the 2016-17 marketing year
  • Export sales of 126k metric tons of Soybeans for delivery to unknown for the 2016-17 marketing year

 

 

nov15