Today grain future

Corn futures are trading 14 to 18 cents higher at midday. US exporters sold 120,000 MT to Mexico for delivery during the 2013/14 marketing year, announced yesterday. That fresh business offset slow old crop shipments from last week. Hotter and drier weather in the WCB, a weaker dollar, and early short covering ahead of the Thursday USDA reports are supportive. Average pre-report trade expectations are for 725 million bushels (mbu) of US old crop ending stocks, and world ending stocks of 124.22 million metric tonnes (MMT). In the crop progress report released yesterday, USDA showed 6% of the US crop is silking, well behind the 20% average for this date. Condition ratings improved slightly with the Brugler500 index moving up to 375 from 373 last week. The weekly commitment of traders report showed managed money accounts are now net short for the first time reported since April of 2010, and it is the shortest net position reported since February of 2009.

Jul 13 Corn is at $7.05 1/4, up 13 1/2 cents,
Sep 13 Corn is at $5.48 3/4, up 15 1/2 cents,
Dec 13 Corn is at $5.18 1/4, up 17 3/4 cents
Mar 14 Corn is at $5.30, up 17 3/4 cents

Soybeans are currently 18 to 26 cents per bushel higher after gaining more than 20 cents per bushel on Monday driven by a strong cash market. US Export inspections were only 2.465 million bushels(mbu) for the week ending July 4, compared to 19.185 mbu for that week in 2012. However, private exporters reported export sales of 120,000 MT to China for delivery during the 2013/14 marketing year. Another private export sale of 135,000 MT for 2013/14 was reported for an unknown destination under the USDA daily reporting system. After the close, USDA reported that 10% of the US bean crop has reached the flowering (blooming) stage. That compares to 24% average for this date. The Brugler500 Index is unchanged at 370. As of last Tuesday close, managed money accounts were reportedly net long 110,812 contracts, down 17,468 contracts from the previous week. Average pre-report trade expectations for the 2012/13 ending stocks are 121 mbu domestically, and 60.938 (MMT) globally.

Jul 13 Soybeans are at $16.27 1/2, up 18 1/4 cents,
Aug 13 Soybeans are at $14.73 3/4, up 18 1/4 cents,
Sep 13 Soybeans are at $13.26, up 25 3/4 cents,
Nov 13 Soybeans are at $12.77 1/4, up 26 cents,
Jul 13 Soybean Meal is at $528.40, up $17.30,
Jul 13 Soybean Oil is at $46.88, down $0.13

Wheat futures are trading 13 to 25 cents higher at all three exchanges. This excludes the soon to expire July contracts. A month into the marketing year, US wheat export inspections are running approximately 7.6% ahead of the pace last year. The US Ag Attache estimated the 2013 Chinese wheat crop to be 3 MMT below the June USDA estimate, and estimated Chinese wheat imports may be 14.2% higher than the June WASDE report. Trade expectations for world ending stocks on the report this Thursday average 179.344 MMT, and projections for total domestic production of all wheat averaged 2.070 billion bushels (bbu). After the close on Monday, USDA showed 57% of the winter wheat crop is harvested, lagging the 64% average. Ohio is only 9% harvested vs. the usual 48%. The winter wheat condition ratings were UNCH from last week. Spring wheat is 45% headed vs. the 53% average for this date. Condition ratings improved to 72% good/ex vs. 68% last week. In the commitment of traders report, released yesterday after the close, managed money accounts added 30,832 contracts to their net short position in Chicago wheat, and 2,923 contracts to their net short position in KC wheat.

Jul 13 CBOT Wheat is at $6.73 1/2, up 13 1/2 cents,
Jul 13 KCBT Wheat is at $7.05, up 13 3/4 cents,
Jul 13 MGEX Wheat is at $7.98, up 25 cents