The US dollar was a little firmer overnight resulting in some downside in US futures. Basically the US markets are simply in a holding pattern waiting for Fridays USDA report. Being January there is not expected to be any big surprises in the report but keep an eye on southern hemisphere production estimates.
Rainfall across the major soybeans states in Brazil and Argentina resulted in a weaker soybean market which in turn saw both ICE canola futures and Paris rapeseed push lower after recent gains. Weekly US soybean export sales were within trade expectations and prevented further losses in oilseeds.
US corn also saw good weekly export sales made while wheat out of the states continues to struggle with only 235kt being sold last week. Iraq picked up 50kt of Aussie and Canadian wheat. The Aussie hard wheat went through at US$288.88 per tonne CnF. This would equate roughly to AUD$305 NTP equivalent and would work very well out of the WA ports at current bids there. In the Newcastle port zone H2 wheat is also around these values for the southern sites like the LPP while trading $10 – $20 higher across the far north of the state or into SQLD. The Canadian wheat traded at US$295 per tonne.
While on Canadian wheat we continue to see durum values in SW Saskatchewan trading at C$272.66 for a March pickup ex farm. This bid has remained relatively unchanged since mid November.