Kleist Comments

MORNING GRAINS 7/21/14
MORNING GRAINS 7/21/14

Corn:
Exports: None Visible.
Comments: Weekend weather, this week’s forecasts and outside political/economic factors prompts a gap lower & new swing lows in the overnight session. Crop ratings likely unchanged or even improved overall; some talk already the USDA report in August to push ylds. towards 170bu/acre; China’s 1st half imports fell 9.5% to 1.39mln.m/t’s, for June rose 238%!…..to 27,250t; open interest rose 9600 amid light-side volume; C-O-T report: slightly friendly (funds rolling to short, commercials covering shorts/adding longs). $3.50 Dec. the next likely objective.

SOYBEANS:
Exports: SOLD CHINA 120,000T OLD CROP BEANS; SOLD UNKNOWN 135,000T SOYMEAL NEW CROP.
Comments: China certainly still active buying old crop dirt cheap compared to their involvement with the earlier year purchases (they cancelled or ‘switched) but curiously the U.S. is still MORE competitive with South America for old crop beans?, new crop bookings understandable. Nonetheless the sale helping August vs. the back months; Argentine port workers to meet with their government today to resolve strike if possible; Oil World sees overall world oilseed supplies in year ahead “ample”; C-O-T report a definitive change of ownership to commercials vs. funds; open interest rose 4500 amid light volume Friday. November beans close to swing lows at $10.65 in the overnight an will see if the export sales brings prices back some; weather showing NO problems.

Wheat:
Exports: None Visible.
Comments: Near ‘triple’ lows in overnight session for the move; no apparent concern over the act of war (sorry, act of terrorism) in the Ukraine (forget the wheat, the situation is very troubling in itself); Russian July 1-16th grain exports up 47%; China 1st half 2014 imports up 92.9% to….. 2.55mln. as June fell off 48.8% on yr.; C-O-T report: leaned neutral; open interest rose 6,600 amid moderate volume. $5.00 next target, some talk seasonal low in offing but……

Kleist Comments

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

Disclaimer: Trading options and commodities involves risk of loss and my not be for every investor. Past trading results may not be indicative of future performance. Although information and opinions provided herein are compiled from sources believed reliable, the sender, EBOT Trading, or its principals cannot attest as to accuracy or assume any responsibility for any errors or omissions as the information may not be complete or events may have changed.