US grain markets
The markets closed lower, soybeans recording the biggest losses with a drop of 2.5%. A deceiving export sales report and favorable harvest weather outlook weighed on prices.
The December contract closed 3c down at 371c. It trades this morning around its closing levels.
Export sales of 382.5kT were sharply down (-62%) from a week earlier, below the 4 weeks average and below market expectations. Exports of 1.1mT had Mexico as primarily destination.
The November contract closed 22c down at 863c. It trades this morning 1c lower.
Export sales of 293kT were slightly down from a week earlier and below market expectations. Exports of 1.16mT had Spain as primarily destination.
The December contract closed 4c down at 513c. It trades this morning around its closing levels.
Export sales of 476kT were up from a week earlier, in line with the 4 weeks average and slightly above market expectations. Exports of 491kT, slightly down from the previous week, had Mexico as primarily destination.
The main US stock indexes closed lower. The S&P lost 1.4%. The markets are concerned about a slowdown of global growth and rising US bond yields.
Crude oil prices dropped further after Wednesday’s EIA report showing once more higher US crude stocks (+6.5m barrels). The November WTI trades this morning around $68.90 and the December Brent around $79.60.
The Dollar recovered further, supported by the minutes from the September FED meeting. The €/$ pair trades this morning around 1.1460.