In the USA the punters saw the downside from the USDA report as a buying opportunity ahead of a weather ravaged weekend. With a severe storm predicted to cut across the Upper Midwest of the USA the punters stepped in as buyers of wheat and corn and to a lesser degree soybeans.
Wall Street found some optimism from reports that trade negotiations are going well with China and the platform for a trade agreement are slowly coming into place. Fancy that, this might all be fixed just before an election in the USA. Could the USA fix what they broke and come out smelling like roses, amusing times we live in. It’s almost like watching a B grade predictable reality TV show. According to a Reuters report Trump stated a deal has been made on IP, Financial Services and Big Ag Purchases.

Fundamentally the support came from delays to US corn and spring wheat harvest and possible delays to US winter wheat sowing. Most models are not showing the storm to be as bad as media reports are presenting it so I guess we just need to wait this one out until Monday.

There is also growing support in wheat values from dryness in both Australia and Argentina. The 7 days outlook for Argentina shows about 50% of the major cropping country seeing some useful rain while southern parts of the Pampas and NW Cordoba are expected to miss out on any significant falls.