Morning Quick Notes

Overnight
Near the break this morning grains are mixed. Wheat is up 2 ½ cents, corn is down ½ cent, and beans are up 3 cents.

Morning Headlines
Good debate on US soybean exports. Some are as low as 1,800 vs USDA 2,060. Key is non-China demand. Some feel US steep discount to US will increase non-China demand for US soybeans and final numbers could be close to USDA est.

China is considering limiting the amount of protein used to feed pigs and poultry highlighting Beijing's concern that hefty Chinese tariffs on U.S. soybeans will tighten supplies. Soymeal still lowest prices protein for China hog ration.

USDA did not increase US ethanol use despite POTUS talk of increasing demand. Proposal is not yet approved, and USDA does not forecast legislative changes.

The U.S. Midwest weather forecast has no major changes as next week looks quiet in all areas. Temps are seen running below average the next 5 days then warm to average by the second half of next week.

Chart of the Day
Today’s chart shows 3-year highs for Kansas City Wheat for April, May, June, and July compared to the 3-year average for the same months and KWN19’s current futures level. Current futures are above the 3-year average, 2016 and 2017 highs.