Written Commentary
MORNING OUTLOOK
Grains are mixed. SN is down 21 cents and near 16.66. Overnight high was 16.95. SX is near 14.87. SMN is near 446.7. BON is near 79.60. Overnight high was 82.09. CN is down 2 cents and near 7.86. CZ is near 7.19. WN is up 5 censt and near 10.80. KWN is up 9 cents and near 11.58. MWN is up 6 cents and near 11.69. US stock market continues lower and near 33,440. S/P is lower and near 4,230.
US Dollar is up near 101.56. Crude dropped to $97. Nat gas is lower on warmer US temps. Gold, silver, copper, coffee, cocoa, sugar and cotton are lower. Most commodities are lower due to more China covid lockdown and concern their imports will drop.
Corn futures are lower following most commodities. Despite the fact Ukraine may not ship corn as Russia increase attack on Ukraine port cities, concern about China imports and slower Global economies is offering resistance. US Midwest forecast could help spring plantings. US weekend rains were in IA, MN, N IL and MI. Most est US 2021/22 corn carryout near 1,200-1,300 mil bu vs USDA 1,440. US 2022/23 corn carryout is est near 1,070-1,200 vs USDA 1,413. Dalian corn futures were lower. Brazil corn futures near record high.
Soybean futures are sharply lower on concern about China demand. SN did test 16.95 on talk of higher US soybean demand due to lower South America supply. Most est US 2021/22 soybean carryout near 160-230 mil bu vs USDA 260. US 2022/23 soybean carryout is est near 200-250 vs USDA 390. Dalian soybeans were higher, soymeal lower and palmoil and soyoil are higher.
KC and MLS wheat futures are gaining on Chicago wheat and corn. KC wheat supported by forecast of drier and warmer US weather. MLS is supported by wet and cool weather slowing plantings. Most est US 2021/22 wheat carryout near USDA 678. US 2022/23 wheat carryout is est near 500-814 vs USDA 731. Key is final US/World 2022 supplies.
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