Kleist Comments

MORNING GRAINS 12/10/13
MORNING GRAINS 12/10/13

Corn: *****************USDA @ 11:00A.M………………………

Exports: None Visible.

Comments: USDA says will issue the S/D report even in the face of bad weather, the troopers that they are. USDA report has some mystery over China’s cancellations effecting the export outlook? South American crops also look larger and as such, corn struggles. Open interest rose 3,500 amid very light volume.

SOYBEANS:

Exports: None Visible.

Comments: USDA report seen bullish domestic stocks but perhaps offset by

increases in the South American crops. Asian CPO lower on weaker exports and rising stocks with it, may have pressured our soyoil. Brazil plantings seen at 96% completed; open interest rose 5,900 even as Jan. drops 11,000 (H up 14,500 a bit of a surprise as new buyers into South American harvests?) amid moderate volume. Jan. cannot as yet take out swing highs but the report will determine it. Time for near the money puts?

Wheat:

Exports: None Visible.

Comments: Nothing really new here. Dissecting the report it’s likely maybe the USDA will increase exports and therefore lower domestic carryover but the caveat here is world production: other countries seeing ample production and world production likely raised. Open interest rose 1,250 amid light volume.

Kleist Comments

This is John Kleist, of Kleist Ag Consulting.
Questions? Email me: johnwkleist@sbcglobal.net

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