Dull Monday with Soybeans up 0.75 cent and Corn down -1.75 cent. Only wheat was a bit more active, ignoring the scaremongering coming from Australia and Russia and ended down -7.00 cents in Chicago, -6.75 cents in Kansas and -2.25 cents in Minneapolis. On the other side of the Pond it was relatively quiet, MATIF closed down -€0.50 and London Feed -£0.25.
In Chicago, funds sold 7,000 Corn and 5,500 Wheat and bought 3,000 lots of Soybeans.
Night session is weak across the board. Soybeans are trading down -4.00 cents, Corn just a tick down, Wheat -1.50 cent in Chicago, ticking sideways on MATIF and -£0.30 on London Feed. Far from being exciting… Market will wait for the materialization of the risk in the southern hemisphere or Russia or will wait for winter planting news in the northern hemisphere before potentially entering a new trend.
In France, Agriculture Ministry cut the soft wheat crop (should be now close to final) by -0.35MT to 34.2MT while corn crop is cut by -0.2MT to 12.2MT. They also cut the sugar beet crop by -0.7MT to 40.4MT as it was hit by diseases but this is still 8.8% above the 5 year average,.. End of quotas! By the meantime, French exporters are expecting Morocco to be import 3MT of soft wheat.
Japan is seeking 115,685T of food wheat, from US and Canada.
The roof, the roof, the roof is on fire… There was a major incident in the biggest Canadian refinery (320,000 barrels per day of capacity), an explosion and fire in the diesel unit of the plant. This will surely impact local supply of gasoline and diesel as the plant will inevitably suffer from some downtime. No major move on oil, WTI is trading at $74.80 and Brent with a $9.90 premium.
IMF cut global economic growth blaming tariffs and trade war: 2018 and 2019 growth is now pegged to +3.7%, a cut of -0.2% for both. German Trade Balance is higher than expected to €18.3B, market cannot really care less and EURUSD is down anyway, trading around 1.1450. GBPUSD is also trading lower but in a lesser extent, trading just below 1.3040. No major macro stats today.