eCBOT Close, Early Call
The overnight grains closed firmer, lead yet again by soybeans, which closed 19 1/2 cents firmer on front-month September, and around 12 cents higher on the rest. Wheat closed 3-4 cents higher and corn around 2 cents firmer.
Old crop soybean stocks continue to tighten, with a late harvest set to further exacerbate the situation. the September future now stands at it's highest level since September 2008.
Weekly export sales for beans were mightily impressive yesterday at just over 2 MMT.
US GDP for the second quarter contracted less than had been expected, adding some fuel to the idea that Bernanke is right and that the recession has, or is, bottoming.
That makes the dollar a little weaker strangely, encouraging a bit of a move away from it's safe haven status. It also means that crude oil is a tad higher, both good news for US grains.
The revised weather forecasts will be of particular importance today, yesterday several were leaning a bit towards colder, even frostier in isolated parts for the weekend. Heavy downpours across a band from southeastern Iowa through Illinois and into northern Indiana are also a threat from a disease viewpoint, as well as delaying crop development and harvesting even further.
Drought in China seems to be developing rapidly, that certainly wants keeping an eye on. Indian monsoon rains remain around 25% below normal since June 1st, with just one month of the rainy season left to go. Reports suggest that soybean production here could be 15-20% lower this year.
El Nino also remains a threat to Australian wheat, although the National Australia Bank still peg production at 23.2 MMT, saying that any potential losses in Queensland and NSW are outweighed by gains in WA.
Yesterday's numbers from the IGC of increased global wheat production and ending stocks for 2009/10 are bearish taken at face value.
Early calls for this afternoon's CBOT session: corn called 1 to 2 higher; September soybeans 15-20 higher, November beans 10 to 12 higher; wheat 2 to 4 higher.
Old crop soybean stocks continue to tighten, with a late harvest set to further exacerbate the situation. the September future now stands at it's highest level since September 2008.
Weekly export sales for beans were mightily impressive yesterday at just over 2 MMT.
US GDP for the second quarter contracted less than had been expected, adding some fuel to the idea that Bernanke is right and that the recession has, or is, bottoming.
That makes the dollar a little weaker strangely, encouraging a bit of a move away from it's safe haven status. It also means that crude oil is a tad higher, both good news for US grains.
The revised weather forecasts will be of particular importance today, yesterday several were leaning a bit towards colder, even frostier in isolated parts for the weekend. Heavy downpours across a band from southeastern Iowa through Illinois and into northern Indiana are also a threat from a disease viewpoint, as well as delaying crop development and harvesting even further.
Drought in China seems to be developing rapidly, that certainly wants keeping an eye on. Indian monsoon rains remain around 25% below normal since June 1st, with just one month of the rainy season left to go. Reports suggest that soybean production here could be 15-20% lower this year.
El Nino also remains a threat to Australian wheat, although the National Australia Bank still peg production at 23.2 MMT, saying that any potential losses in Queensland and NSW are outweighed by gains in WA.
Yesterday's numbers from the IGC of increased global wheat production and ending stocks for 2009/10 are bearish taken at face value.
Early calls for this afternoon's CBOT session: corn called 1 to 2 higher; September soybeans 15-20 higher, November beans 10 to 12 higher; wheat 2 to 4 higher.