Michaela White

Apr 7, 2021

Highlights

A relatively quiet day in the outside markets, with both energy and equity trading nominally higher. The markets seem to remain optimistic as signs of economic recovery continue to prevail and vaccination progress continues.

  • The U.K. is advising that citizens under the age of 30 avoid the AstraZeneca’s coronavirus vaccine, and the E.U. is expected to recommend limiting use to those over the age of 60 amid concerns regarding clotting.
  • The IMF increased their forecast for global growth in 2021 to a record 6%.
  • Outside markets as of 3:30 PM Central: May crude oil at $59.68 up $0.35; gold at $1,735.40 down $6.10; U.S. Dollar Index at 92.411 up 0.076; Dow futures at 33,339 up 24 points; S&P futures at 4,073 up 9 points.

Corn

Corn finished the day in positive territory, near the highs of the day but within the recent trading range. The focus continues to be on Friday’s report, and farmer activity.

  • Estimates for weekly export sales range from 500,000 to 900,000 tonnes of old crop and 50,000 to 300,000 tonnes of new crop.
  • Ethanol production saw an increase of 10,000 barrels per day to 975,000 bpd. Inventories decreased by a ½ million barrels to 20.6 million barrels.
  • Closes: May at $5.61 ½ up 7 ¼; July at $5.46 ¼ up 5 ¼; December at $4.85 ¼ up 2.
  • Spreads: K/N 14 ¾ cent inverse; N/Z 61 ¼ cent inverse; Z/H 7 ½ cent carry.

Oilseeds

Soybeans traded lower as the market is consolidating ahead of Friday’s report while traders position themselves for fresh USDA data. CONAB’s updated Brazilian production estimates will be released tomorrow.

  • Estimates for weekly export sales range from 100,000 to 400,000 tonnes of old crop soybeans and 0 to 200,000 tonnes of new crop soybeans; 100,000 to 250,000 tonnes of soymeal; and 0 to 30,000 tonnes of soyoil.
  • Closes: May at $14.08 down 10 ¾; July at $14.02 down 9 ¼; November at $12.70 ½ down ¾.
  • Spreads: K/N 5 ¾ cent inverse; N/X 131 ¾ cent inverse; X/H 29 ¾ cent inverse.

Wheat

The wheat markets traded higher, with Minneapolis leading the way. Strength in Minneapolis stems from cold, dry conditions in the Northern Plains leading to planting concerns. Additionally, Japan was seeking spring wheat on their latest tender, adding demand excitement to the market.

  • Algeria’s state grain buying agency bought between 30,000 to 48,000 tonnes of milling wheat, specifying shipment from two specific Algerian ports. Prices are estimated to be near $280 per tonne.
  • Weekly export sales estimates ranged from 100,000 to 500,000 for old crop sales and 50,000 to 200,000 for new crop sales.
  • May closes: Chicago at $6.16 ¾ up 1 ¼; Kansas City at $5.64 up 8 ½; Minneapolis at $6.24 up 13.
  • Spreads: Chicago K/N 2 ¾ cent inverse; Kansas City 6 ¾ cent carry; Minneapolis 7 ½ cent carry.