Document 6563471

Grain and Soy Market
Morning Comments
Benson Quinn Commodities Inc.
Minneapolis, MN
October 14, 2014
Morning Comments: It has been a mixed overnight session with beans leading market higher this morning. Slow harvest pace and tight
pipelines are offering support with beans filling an open chart gap back from mid-September in overnight price action. Corn harvest pace
has also been slow with market lacking an offer from the producer as cash values are seen under $3 a bushel. December corn is mildly
higher this morning but has traded thru last week’s highs and has traded to highest values since mid-September on an overnight high.
Trade in the wheat complex has been mixed to lower this morning on lack of significant global demand. The USDA is back to business after
yesterday’s holiday and we should have weekly export inspection this morning and crop progress this afternoon. Corn harvest is expected to
be 20 to 25% complete vs. 37% average with bean harvest 25 to 30% complete vs. 55% average. NOPA crush for September will be released
tomorrow with average estimate of 103 million bushels vs. 108.7 million for same month last year. FSA will release its latest update to
certified planted acreage data tomorrow morning. Strong storms blew thru the southern and eastern Midwest yesterday. Rains have moved
off to the east but heavy rain amounts will keep the combines out of the fields for several days. Forecasts are turning warmer and drier in
the 6 to 10 day and should aid in increasing harvest pace for both beans and corn. Weather in Brazil looks to become more favorable for
soybean planting by the weekend as high pressure ridge that has kept northern and central Brazil hot and dry looks to be breaking down
and bringing a start to the rainy season. Soybean plantings in Brazil are around 6% done compared to 9% average. Macro markets are
mixed with US equities higher on better earnings from Johnson & Johnson and Citigroup. US dollar is also trading higher while crude has
retreated and is trading back near 2-year lows.
Overnight Trade:
Symbol
@ 7:45
CZ
SX
MWZ
WZ
KWZ
347
957 ¾
557 ½
504 ¼
584 ½
Daily Trading Limits:
Net
Change
+1
+12 ½
-1 ¼
-1
+¼
High
Low
349 ½
960
562
510
588 ¾
345 ¼
943 ¼
556
501 ¼
582
Initial
Corn
Beans
MWheat
CWheat
KWheat
Expanded
Good
Thru
35 cts
100 cts
60 cts
45 cts
50 cts
Weather:
24 Hour Rainfall Est.
1-3 Day Precip Outlook
6-10 Day Temp Outlook
6-10 Day Precip Outlook
Export News/World Trade: South Korea seeks 25,200 MT of US wheat for February. Japan is in this week for 117,000 MT of wheat in
its regular weekly tender. There was no daily reporting with USDA back today.
Palm Oil/Chinese Dalian/French Wheat: Malaysian palm oil futures closed higher on late session fund buying with bearish news
said to be priced in. The benchmark Dec contract settled up 6 MYR at 2,163 MYR a tonne. Chinese Dalian futures were mixed in overnight
trade. French milling wheat futures are trading higher this morning with the November contract up 0.75 euro at 158.25 euro a tonne.
Global Equities: The Dow Jones Industrial Average closed down 223 points in its prior session settling at 16,321. China’s Shanghai
Composite was down 7 points to close at 2,359. Hong Kong’s Hang Seng Index was down 95 points to close at 23,048. The Japanese Nikkei
Index was down 364 points closing at 14,937. European markets are trading mixed with a lower bias. US equity futures are pointing to a
higher start.
Technical Support & Resistance:
Symbol
1st Support
2nd Support
CZ
332 ¼
325
SX
933 ¼
904
MWZ
545 ¾
539 ¼
WZ
487 ¾
481 ¼
KWZ
570 ¼
561 ½
1st Resistance
349 ¾
965
565 ½
513 ¾
588
2nd Resistance
357
975
577 ¼
523 ¼
597 ½
Point of Interest: Canada has more inland waters and lakes than any other country in the world.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is
suitable for you in light of your financial condition. These observations include information from sources believed to be reliable, but no independent
verification has been made and therefore their accuracy and completeness cannot be guaranteed. Benson Quinn Commodities, Inc. does not guarantee that
such information is accurate or complete. Opinions expressed reflect judgment at this date and are subject to change without notice. BQCI is a wholly owned
subsidiary of Archer Daniels Midland and An Introducing Broker for ADMIS, 701 South 4th Avenue, Suite 800, Minneapolis, MN 55415, 1-800-438-7070.