Weekly Ag Markets Update - Tuesday, Aug. 18

Weekly Chicago Soybeans Futures

Weekly Chicago Soybean Meal Futures

Rice: Rice was higher last week as the harvest is active near the Gulf Coast. The weekly charts show that futures are in a short term trading range but the daily charts imply that higher prices are coming. New crop prospects appear solid for increased production in the coming year. The area is larger and the growing conditions are mostly good. The crops are called in good condition in Mississippi, Arkansas, and Missouri. Texas and southern Louisiana field yield reports are strong. Export demand for the new crop Rice has been slow to develop as buyers wait for lower prices. Domestic demand has also been less. It looks like many buyers bought and hoarded Rice during the first pandemic scare and are now full of supplies. The USDA production reports showed increased area but less yield potential for overall larger production this year. Demand was cut so ending stocks were bigger.

Weekly Chicago Rice Futures

Palm Oil and Vegetable Oils: Palm Oil closed lower on worries that prices were too high for demand and despite more reports of less production from Malaysia and Indonesia. Wire reports from Indonesia last week highlighted more than 8% less production and 7% esports from that country. Flooding and a lack of workers for the plantations have been the reasons to see less production in Malaysia. Palm Oil has been hoping for better demand from importers as world economies slowly open after being closed by the Coronavirus epidemic. Indonesia continues to focus its Palm Oil on internal demand for bio fuels.  Soybean Oil was a little higher and Canola was lower. Soybean Oil found support on increased demand ideas. Canola closed lower on good growing conditions in Canada and the stronger Canadian Dollar. The strength in the Canadian Dollar is more about weakness in the US Dollar than anything going on in Canada. Crop conditions are mostly good and farmers have been selling old crop supplies. The weather has been warmer the past couple of weeks and most areas have seen rain.

View single page >> |

Disclaimer: Past results are not necessarily indicative of future results. Investing in futures can involve substantial risk of loss & is not suitable for everyone. Trading foreign exchange also ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.