Soybeans–
The June WASDE report came out this morning. Soybeans closed lower despite the friendly report. New crop ending stocks were unchanged at 295 mb, in-line with analyst estimates. Old crop ending stocks were estimated at 350 mb, unchanged from last month. The trade expectation for old crop soybeans was 353m. No changes were made for Brazil and Argentina’s old crop soybean production. Argentina’s estimated production is 49 mt, while Brazil’s estimated production is 169 mt. Soybeans have now traded lower on the June WASDE 5 years in a row.
Grain Stocks and Prospective plantings will be released at the end of the month.
July Soybeans (ZSN25) settled at 1042 (-8), high of 1056, low of 1038. New crop November Soybeans (ZSX25) settled at 1027 (-2). Cash price is at 1036 (-7)
July Bean Meal (ZMN25) settled at 294.5 (+0.3) high of 297.5, low of 293.1
July Bean Oil (ZLN25) settled at 47.61 (-0.41) high of 49.22, low of 47.00
The July Meal to Oil ratio (55.30% Meal – 44.70% Oil)
ZSN25 Moving Averages – (1052) 5-day, (1051) 20-day, (1047) 50-day, (1050) 100-day, (1047) 200-day
ZSX25 Moving Averages – (1031) 5-day, (1035) 20-day, (1028) 50-day, (1032) 100-day, (1033) 200-day
ZMN25 Moving Averages – (295.2) 5-day, (295.1) 20-day, (296.6) 50-day, (304.2) 100-day, (311.2) 200-day
ZLN25 Moving Averages – (47.66) 5-day, (48.21) 20-day, (48.35) 50-day, (46.71) 100-day, (44.98) 200-day
The Commitments of Traders report for the week ending June 6th showed soybeans Managed Money traders sold -28,096 contracts to their bringing their net long total to 8,601 contracts. Producer/Merchant traders bought 32,487 contracts bringing their net short position to -143,487 contracts. Non-Commercial & Non-Reportable traders net position was 20,330 contracts.
The Commitments of Traders report for the week ending June 6th showed meal Managed Money traders sold -2,932 contracts, moving to a net short position of -96,717 contracts. Producer/Merchants added 2,967 contracts bringing their net long position to 111,232. Meal Non-Commercial & Non-Reportable traders hold a short position of -58,340 contracts.
For bean oil, the Commitments of Traders report for the week ending June 6th showed Managed Money traders were net long 31,990 contracts after selling -21,998 contracts. Non-Commercial & Non-Reportable traders net long position was 41,253 contracts.
Are You Looking to Hedge Your Production or Speculate?
If you want to start trading, please open an account with Walsh Trading, Inc. using this link
CORN –
July Corn (ZCN25) settled at 438 (+1), high of 441, low of 435. New crop December Corn (ZCZ25) settled at 440 (+0.75). Cash price is 458 (+3)
The June WASDE report came out this morning, but the report was not able to rally the market much higher. The report was friendly for corn, overall. New crop ending stocks came in at 275.2 mb compared to 277.8 mb last month. The average trade guess was 278.9 mb. The old crop corn estimate was 285 mb compared to 287.3 mb last month. The average trade guess was 288.1 mb. The USDA raised old crop exports by 50 mb. As of June 5, 98% of the 2.65 billion bushels export target was covered. No changes were made to Brazil or Argentina’s 2024/25 crop estimate. The USDA’s Brazil production estimate is 130 mt, and the estimate for Argentina is 50 mt.
Grain Stocks and Prospective plantings will be released at the end of the month.
ZCN25 Moving Averages – (438) 5-day, (446) 20-day, (461) 50-day, (474) 100-day, (462) 200-day
ZCZ25 Moving Averages – (441) 5-day, (443) 20-day, (447) 50-day, (453) 100-day, (448) 200-day
The Commitments of Traders report for the week ending June 6thh showed that corn Managed Money sold -4,913 contracts bringing their net position to -154,043 contracts. Producer/Merchant traders bought 47,609 contracts bringing their net position to -102,452. Non-Commercial & Non-Reportable traders net short position was -170,495 contracts.
WHEAT –
July Chicago Wheat (ZWN25) settled at 526 (-7), with a high of 537, low of 526. September Wheat (ZWU25) settled at 541 (-7). Chicago Wheat has a cash price of 540 (-0.25). July KC Wheat (KEN25) settled at 522 (-3). July Spring Wheat (MWN25) settled at 621 (+4)
Today’s WASDE report showed a decrease in new crop ending stocks from 923 mb last month to 898 mb, still 7% above last year. New crop exports were raised 25 mb. The average trade estimate was 924 mb. The USDA’s estimate in May was 923 mb. Old crop ending stocks were unchanged. World wheat production was projected at 1.921 bb, up 115k bushels over the May report. Despite the friendly domestic new crop ending stocks, what really drove the market lower today was the increased world production numbers.
Grain Stocks and Prospective plantings will be released at the end of the month.
ZWN25 Moving Averages – (538) 5-day, (537) 20-day, (540) 50-day, (561) 100-day, (577) 200-day
ZWU25 Moving Averages – (553) 5-day, (552) 20-day, (555) 50-day, (576) 100-day, (590) 200-day
KEN25 Moving Averages – (532) 5-day, (533) 20-day, (543) 50-day, (572) 100-day, (582) 200-day
MWN25 Moving Averages – (621) 5-day, (609) 20-day, (607) 50-day, (616) 100-day, (626) 200-day
The Commitments of Traders report for the week ending June 6th showed that Managed Money traders in the wheat market were net short -100,572 contracts, having decreased their short position by 654 contracts. Producer/Merchant traders added 2,550 contracts to bring their net position to 36,279 contracts. Non-Commercial & Non-Reportable traders were net short -99,069 contracts.
If you want to start trading, please open an account with Walsh Trading, Inc. using this link
Hans Schmit
Account Executive Walsh Trading
Direct 312-765-7311
Toll Free 800-993-5449
Fax 312 256 0109 fax
hschmit@walshtrading.com