CONAB raised its Brazilian soybean production estimate to 110 MMTs, vs. 109 MMTs in December, a move that was largely expected. The USDA has been steadfast at 108 MMTs, which is simply a function of trend yield. The USDA tends to wait until Feb before making any real changes, though it’s possible USDA will follow…
Models Keep Northern Brazilian Dryness Intact into Jan 27: The South American forecast is again little changed and still mixed. On the margin, roughly half of Argentina’s corn belt will see normal/above normal rainfall in the next two weeks. Buenos Aires & Cordoba look to stay dry, however. A period of 10 days or so…
Feb hogs ended another $1.70 lower, though amid limited fresh news. Recent weakness is understandable given animal numbers and production, but it’s just as much about the liquidation of speculative length. ARC detailed on Wednesday that while a sizeable long position is justifiable, managed funds’ current long is a bit excessive. There’s risk that another…
Corn futures again ended little changed, and tomorrow’s focus will be solely on quarterly residual use and potential surprises in final yield. Residual is difficult to track, and since November there’s been no compelling evidence to suggests any major to US yield is warranted. But stocks reports can be surprising, and so the market waits.…
It was another down day for the soy complex. Mar soybean futures lost 6 cents and set a new 4-month low. Mar soymeal futures gave up $3.70 and set a 17-week low. Soyoil got dinged too, but the Mar contract only gave up 0.34 of a cent. CONAB raised its estimate of the Brazilian soy…
