GRAIN HIGHLIGHTS : Top Stories of the Day
Grain, Soybean Futures Start Week Lower
Grain and soybean futures fell in a mixed session as traders digested changing weather forecasts.
Growing prospects for U.S. crops are still mixed. Drought continues to harm spring wheat, while varying moisture and heat levels across the Midwest are stressing some of the corn and soybean crops. MDA Weather Services forecast rain in parts of the region this week to give way to drier conditions in its 11-to-15 day outlook.
China OKs More Seeds, But Not Enough for Monsanto -- Market Talk
10:46 ET - China biotechnology authorities clear two strains of genetically engineered corn -- one developed by Monsanto (MON) and one by Syngenta -- but 100 days after China and US struck a 10-point trade deal, China has acted on only four of eight biotech crops that it pledged to move along its regulatory pipeline. Monsanto appreciates the approvals so far, spokeswoman says, noting its corn submission had been pending for five years. But she says the company's disappointed that China has yet to act on the others: "This is inconsistent with numerous scientific conclusions around the world on these same products, as well as with the spirit of the US-China 100-day plan." MON up 0.3%. ([email protected]; @jacobbunge)
STORIES OF INTEREST:
US Crop Quality Falls as Weather Troubles Continue -- Market Talk
16:34 ET - US crop conditions declined further last week, according to USDA data. The share of corn in good or excellent condition as of Sunday fell to 64% from 65% last week, while good-or-excellent-rated soybeans fell to 61% from 62%. The spring wheat crop--much of which farmers say is now beyond hope--also notched a percentage point decline to 34% good or excellent. The updated figures should be friendly to prices, says Doug Bergman of RCM Alternatives. Analysts say it has been one of the toughest growing seasons so far in years. ([email protected]; @b_parkyn)
US Soybean Crush Falls in June -- Market Talk
12:13 ET - Soybean futures are steady as June's US crush rate falls below expectations. The National Oilseed Processors Association said processing fell to 138.074M bushels in June, down from 149.246M bushels in May and below the range of analyst estimates. Soybean oil stocks also fell below expectations to 1.703B pounds from 1.749B pounds in May. CBOT August soybean futures are up 0.4% to $9.92 3/4 a bushel. ([email protected]; @b_parkyn)
India's Higher Foodgrains Production to Bring Down Food Prices -- Market Talk
0823 GMT - India's foodgrains production jumped 8.7% to a record 273.38 million tons in the 2016-17 crop year, thanks to robust output of wheat, rice and lentils. "As a result of very good rainfall during 2016 and various policy initiatives taken by the government, the country has witnessed record foodgrains production in the current year," India's agriculture ministry says. Production of rice increased 4.5% to 109.15 million tons, while wheat production was up 5.6% to 97.44 million tons, according to latest government data. Production of lentils rose 37% to 22.40 million tons, which might help trim dependence on import by boosting supplies and controlling prices, traders say. ([email protected])
Hog Futures Climb on Higher Meat Prices
Hog futures started the week higher on an unexpected bump in pork prices.
Wholesale pork prices rose to $1.0528 a pound at midday Monday, with pork bellies climbing to a new record of $2.1343 a pound. A number of analysts had expected prices to peak as wholesalers prepare for lower demand in the fall, but a run-up in the cost of bellies has continued to stave off a downturn.