The main focus on Chicago was the weakness in the soybean pit. China, the key to beans as usual, continue to talk of larger imports from S.America and also push forward with their Zero Covid policy, stifling demand A policy which is looking to be more affective in population control than their one child policy was, let’s just hope they don’t persist with their zero covid policy for 36 years.
Crush margins on US soybeans has been very good.  This is probably a good thing considering the export issues developing due to low river levels and the later than average harvest that is being experienced in the USA. WASDE report out tomorrow night.
The weaker close in Chicago soybeans didn’t hurt soymeal futures which managed to close in the black, but it did roll across the canola and rapeseed markets in both Canada and France. The EU through a bit of fuel on the fire, increasing EU rapeseed acreage sown this autumn. This may pressure harvest prices here a little but will more than likely encourage a prompter sales program for Australian canola in 2022 – Q1 2023.
According to a private analytical firm EU area is expected to increase 2.4% to 6mha. Farmers there trying to take advantage of the higher prices and the lack of Black Sea supply due to the Russia / Ukraine war.

Iraq, Egypt and Algeria are all in the market this week. Iraq recently picked up 150kt of wheat but are back in again. Egypt is in after communicating they have 5 months’ worth of strategic wheat reserves on hand. Lithuanian wheat seems to be in the box seat at the FOB level at present, offered at US$356.45 FOB. There is talk of Russian wheat being offered at US$369.95 C&F. I’m pretty sure it will cost more than US$10.50 to get Lithuanian wheat to Egypt, so expect to see a big slice of the tender supplied out of the Black Sea as usual.