Futures Close Report 11th December 2018

USDA

Raised its outlook for world soybean end stocks to 115.33 million tonnes from 112.08 million tonnes. This was well above trade expectations for 112.79 million tonnes.  US Stocks if realised were seen at a record high of 955 million bushels as China trade situation impacts on US positions.

For corn, global end stocks were put at 308.8 million tonnes for 18/19 up on the trade estimates for 307.59 million tonnes.

Wheat global end stocks for 18/19 were seen at 268 million tonnes, above trade estimates for 266.7 million tonnes.

US have delayed a second round of support payments ($12bn) to farmers hit by the ongoing trade dispute with China – U.S. President Donald Trump’s Office of Management and Budget at the White House is holding up approval of the payments due to concern over the cost of the program, and wants to see if the trade issues with China get resolved.  US President Donald Trump said on Tuesday that China was buying a “tremendous amount” of U.S. soybeans, although US exporters have yet to report any daily sales of more than 100k tonnes as they are required to do by the USDA.