Morning Quick Notes

Overnight

  • Grains are lower to start the week, wheat is off 5 cents
  • Beans are lower by 10 and corn is down 4 cents in early trade
  • Crude while higher in most months is lower in the spot month by 6 cents
  • U. S. Dollar index -.177 

Headlines

  • The tariffs are on. Chains were rattled about adding more items to the US tariff list.
  • The USDA July S&D report will be out this Thursday 7/12/18.
  • USDA commented that they will likely incorporate some effects of the trade tariffs between the US and China 
  • US temperatures were moderate over the weekend however heat returns mid-week across the Midwest.
  • Some northern areas need to dry out from recent rains.
  • Private consultancy SovEcon said over the weekend that southern Russian grains were in desperate need of rains over the next couple weeks to prevent yield losses

Chart of the Day

2017/18 soybean export sales continue to put in a strong counter-seasonal run, right up to the China tariff date on Friday; sales for the seven days ending the previous Thursday registered at the highest level since mid-April, just over 20 mln bu. Cumulative sales stand at 2105 mbu, now less than 90 mln behind last year’s pace; cumulative shipments stand at 1821 mbu, now just 122 mbu behind last year (having cut 111 mbu off that YoY deficit in the last ten weeks), with the USDA looking for a –109 mbu YoY diff.