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Big export sales are expected once again tomorrow morning, with corn sales expected at 2.2 to 3.3 million tonnes, and soybeans at 1.2 to 2.4mmt this week. This morning the daily export sale streak continued today with private exporters reporting the following sales: 130,000 metric tons of soybeans for delivery to China during 2024/2025, 100,000 metric tons of corn for delivery to unknown destinations during 2024/2025 & 259,000 metric tons of soybeans for delivery to unknown destinations during 2024/2025. Mexico has been a big buyer of US corn as of late. Reviewing the history, its more likely Mexico’s buying is value driven and frontloaded. On the soybean side of things, Brazil's planting delays are not expected to shrink the size of its next crop, but they are expected to delay its harvest, which should increase Chinese purchases somewhat, moving us a bit closer to USDA's aggressive target for the year.
Rains in the Black Sea region have cut the area of dryness in half. Now, only 25% of the Russian winter wheat region is running less than 50% of its 30-day normal rainfall. Ukraine has 10% of its belt running less than 50% of its normal rainfall, with the average total belt in a surplus. Argentina's Rosario grains exchange says rainfall in the last day or so has turned things around in terms of the crop outlook.
Today, Russian President Vladimir Putin declared the expansion of the BRICS group signifies the creation of a “multipolar world,” challenging the U.S.-led global order. As announced previously, Russian President Putin officially proposed the creation of a BRICS grain exchange, which could later be transformed to other commodities, including energies. Putin also advocated for BRICS nations to reduce reliance on the U.S. dollar by increasing trade in national currencies.
Funds were thought to have been mostly buyers, with wheat neutral.
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