Agricultural commodities mixed to lower overnight.
Yesterday’s strength was driven by a larger than expected drop in US crop conditions and renewed attacks on Ukraine’s agricultural infrastructure.
Russian missile strikes killed a civilian in Kyiv and the Odesa region, while a number of fires were reported around agricultural port facilities near Izmail.
Romania’s President pointed out that the Russian missile attacks came within a half mile of their border with Ukraine, significant as they are a NATO member.
Wheat futures are mixed. Matif wheat futures are lower due to record Russia monthly wheat exports vs lower US and EU.
South Korean millers issued a tender for 95k tonnes of milling wheat from the U.S. & Canada, including 50k from the former and 45k the latter; the country’s FLC bought 57k tonnes of optional origin feed wheat at $273/t C&F.
Chinese customs reports August soybean imports at 9.36 million tonnes, down 3.8% from 9.73 MMT in July; cumulative Jan-Aug soybean imports of 71.65 MMT are still up from last year’s 60.78 MMT pace.
StoneX estimated US corn yields at 175.0 bushels per acre yesterday afternoon, down two bushels per acre from last month, with production implied at 15.102 billion bushels, just a shade below the USDA Aug figure. Soybean yields fell from 50.5 to 50.1 bpa, with output there coming in at 4.144 bln bu, around 60 million below the working government figure.
A farmer survey by brokerage firm Allendale, Inc. released yesterday pegged 2023 U.S. corn yields at 171.5 bushels per acre, (3.6 bpa below the USDA) with production at 14.805 billion bushels (over 300 mbu below the govern-ment); soybeans came in at 49.6 bpa (1.3 bpa below the USDA Aug) and 4.100 bln bu (105 mbu below the USDA Aug).
Brazil’s Conab raised their ‘22/23 second crop corn production estimate from 100.1 to 102.1 million tonnes yesterday, with total corn output up from 129.9 to 131.8 MMT; soybean production was steady this month at 154.6 MMT, with 2023 wheat output at 10.817 MMT, up from 10.554 MMT in 2022.
French consultancy Agritel estimated Ukraine’s 2023 corn crop at 29.3 MMT, up almost 6% from last year due to stronger yields.
Mpls wheat +1
KC wheat -5
Chic wheat -3
Matif wheat -1
Soybean oil -48