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USDA to Cut Crop Estimates? + Joe Attempts Positive Spin on Soybean Situation
Manage episode 505708417 series 2864038
Joe's Premium Subscription: www.standardgrain.com
Grain Markets and Other Stuff Links-
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TikTok
YouTube
Futures and options trading involves risk of loss and is not suitable for everyone.
0:00 Intro
0:49 USDA Preview
3:38 Argentina Situation
7:22 Positive (ish) Soybean Spin
10:11 Biofuel Back and Forth
12:15 Ethanol Production
đ˝ Welcome back! Big USDA Report Tomorrow đ˝
đ Crop Production & WASDE Preview
The USDA releases its monthly Crop Production and WASDE report Friday at 11am CST. Traders expect corn and soybean yield/production cuts, though both remain at record highs. Soybean exports could be trimmed again, with China still absent from the US market. Carryout projections: US corn, soybeans, and wheat are all expected to decline slightly; global wheat is seen higher. The big ticket items tomorrow are US corn and soybean yield estimatesâthis month USDA adds objective yield data into the mix.
đŚđˇ Argentina Outlook
Rosario Exchange pegs corn production at 61mmt, record-large if rainfall is adequate. 2024/25 outlook also boosted to 50mmt. Soybean acreage expected down 7%, with production forecast at 47mmt vs. 49.5mmt last year. Buenos Aires Exchange also sees lower acreage, down 4.3%.
đ¨đł Chinaâs Snub of US Soybeans
China booked 7.5mmt of October soybeansâ95% from Brazil. At this time last year, they had 12â13mmt from the US. Despite US beans being cheaper, the 23% tariff adds $2/bu, keeping them uncompetitive. Analysts warn US farmers could lose 14â16mmt of soybean sales if China waits until mid-November. Still, USDA projects US exports only -9% YoY, thanks to other global buyers stepping in.
â˝ Biofuels & Policy Uncertainty
Trumpâs new biofuel plan rattled the market, with concerns refiners may only face partial obligations. Senator Mike Leeâs bill adds more uncertainty. Biofuel shares (Bunge, ADM, Valero, and Green Plains) tumbled; RIN prices hit their lowest since June.
đś Ethanol Production & Margins
US ethanol output hit 1.1mil bpd, the strongest for this week in a decade. Stocks rose to 22.8mil barrels. Margins remain strong, anywhere from +20c to +60c across the Corn Belt, supported by low corn prices.
đDonât forget to subscribe for daily updates and leave a comment with your thoughts on tomorrowâs report.
1530 episodes
Manage episode 505708417 series 2864038
Joe's Premium Subscription: www.standardgrain.com
Grain Markets and Other Stuff Links-
Apple Podcasts
Spotify
TikTok
YouTube
Futures and options trading involves risk of loss and is not suitable for everyone.
0:00 Intro
0:49 USDA Preview
3:38 Argentina Situation
7:22 Positive (ish) Soybean Spin
10:11 Biofuel Back and Forth
12:15 Ethanol Production
đ˝ Welcome back! Big USDA Report Tomorrow đ˝
đ Crop Production & WASDE Preview
The USDA releases its monthly Crop Production and WASDE report Friday at 11am CST. Traders expect corn and soybean yield/production cuts, though both remain at record highs. Soybean exports could be trimmed again, with China still absent from the US market. Carryout projections: US corn, soybeans, and wheat are all expected to decline slightly; global wheat is seen higher. The big ticket items tomorrow are US corn and soybean yield estimatesâthis month USDA adds objective yield data into the mix.
đŚđˇ Argentina Outlook
Rosario Exchange pegs corn production at 61mmt, record-large if rainfall is adequate. 2024/25 outlook also boosted to 50mmt. Soybean acreage expected down 7%, with production forecast at 47mmt vs. 49.5mmt last year. Buenos Aires Exchange also sees lower acreage, down 4.3%.
đ¨đł Chinaâs Snub of US Soybeans
China booked 7.5mmt of October soybeansâ95% from Brazil. At this time last year, they had 12â13mmt from the US. Despite US beans being cheaper, the 23% tariff adds $2/bu, keeping them uncompetitive. Analysts warn US farmers could lose 14â16mmt of soybean sales if China waits until mid-November. Still, USDA projects US exports only -9% YoY, thanks to other global buyers stepping in.
â˝ Biofuels & Policy Uncertainty
Trumpâs new biofuel plan rattled the market, with concerns refiners may only face partial obligations. Senator Mike Leeâs bill adds more uncertainty. Biofuel shares (Bunge, ADM, Valero, and Green Plains) tumbled; RIN prices hit their lowest since June.
đś Ethanol Production & Margins
US ethanol output hit 1.1mil bpd, the strongest for this week in a decade. Stocks rose to 22.8mil barrels. Margins remain strong, anywhere from +20c to +60c across the Corn Belt, supported by low corn prices.
đDonât forget to subscribe for daily updates and leave a comment with your thoughts on tomorrowâs report.
1530 episodes
ĐŃĐľ ŃĐľŃии
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