Thursday, September 19, 2019      
Morning Markets: Corn -1Beans -1.  Wheat -1.


Yesterday's mixed closes carried over into the night session and we are still on both sides of unchanged this morning. This is mostly for corn and soybeans as wheat futures have stabilized. All losses have been trimmed, giving us the indication funds are not willing to continue selling at these values. Uncertain global weather is preventing losses at this point, as is a rebound in the outside market. This is especially the case on corn as that commodity tends to mirror crude oil movement. Thoughts we will see high weekly export sales numbers today are benefiting futures as well. Uncertainty over future demand, both for export and domestically are restricting any advancement. Sparse fresh news and questions over trade relationships in the global market are also limiting factors for trade.

Crude Oil is up $1.15 at $59.26.                           
US Dollar is down $0.240 at $98.321.
Global Equities: Japan +0.6%, China -1.1%, and Europe +0.3%.
Dow futures up 36 points at 27,147.
EU MATIF Exchange: Corn -0.3% and Wheat +0.3%.
Malaysian Palm Oil: -0.8%.
China’s Dalian Exchange: Corn -0.3%, Soybeans +0.1%, and Meal -0.1%. 
·         Official 6 to 10 and 8 to 14-day forecasts out yesterday remain warm and wet though.
·         Rain moving through Iowa this morning. Rainfall looks to be heavy in Missouri and parts of Illinois this weekend and early next week.  The warmer weather is starting to get a little more harvest started in the Midwest, but active harvest is still 10 days away.  

·         President Trump will meet today with a group of U.S. senators to discuss biofuels policy. The discussion will continue a slew of meetings the White House has held with both biofuel and oil refining advocates to negotiate a compromise between the two sides that have clashed over biofuel blending mandates.
·         U.S. and Chinese deputy trade negotiators are set to resume face-to-face talks today for the first time in nearly two months. The negotiations on Thursday and Friday are aimed at laying the groundwork for high-level talks in early October that will determine whether the two countries are working towards a solution or are headed for new and higher tariffs on each other’s goods.
·         As expected, the FOMC lowered interest rates 25 basis points yesterday. There is a 58% chance the Feds cut rates again in December.
·         China’s commerce ministry has released 10,000 mt of pork, 2,400 pounds of beef and 1,900 pounds of mutton to keep meat prices in check. The ministry said they will continue to release meat from the reserves to guarantee supply.
·         Weekly EIA Ethanol Report: Production: +10,000 at 1,023,000 BPD (+1.0%); trade expected -1%. Stocks: -1,302,000 to 22.499 million barrels (-5.5%); trade expected -1%.
·         Brazil’s 2020 corn crop is expected to be 102.3mmt, up 2.3% from LY. If achieved this would be the first time Brazil produced over 100mmt of corn in a single season. An acreage expansion of 3.4% is set to drive the expansion.
  • Corn: 1,464,600mt 19/20 crop. (Estimates: 900,000-1,300,000).
  • Soybeans: 1,728,100mt 19/20 crop (Estimates: 700,000-1,100,000).
  • Wheat: 286,600 19/20 crop (Estimates: 300,000-600,000).
  • Meal: 93,700mt 18/19 crop, 342,100mt 19/20 crop (Estimates: 0-200,000/ 50,000-250,000).
  • Oil: 18,900mt 18/19 crop. 1,700mt 19/20 crop (Estimates: 0-25,000/ 0-10,000).
·         N/A

Have a great day!!!!
Chelsey White
Emery Branch Manager/Originator || Topflight Grain Coop
593 Emery Rd.
Maroa, Il 61756

This material should be construed as market commentary, merely observing economic, political and/or market conditions, and not intended to refer to any particular trading strategy, promotional element or quality of service provided by Topflight Grain Cooperative, Inc. Topflight Grain is not responsible for any redistribution of this material by third parties, or any trading decisions taken by persons not intended to view this material. Information contained herein was obtained from sources believed to be reliable but is not guaranteed as to its accuracy. Contact Topflight Grains designated personnel for specific trading advice to meet your trading preferences. These materials represent the opinions and viewpoints of the author, and do not necessarily reflect the viewpoints and trading strategies employed by Topflight Grain Cooperative, Inc.

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