Grains Lower to Start the Day
Bullish Enthusiasm Appears to be Waning
Grains were lower to start the day as the bullish enthusiasm from last week appears to be waning. Meanwhile, the US Dollar continued to exert its strength to the upside while crude oil drifted lower.
The NOPA crush report to be released today at 11:00 AM is expected to show 159.1 million bushels of soybeans in January (ranging from 156.9 million to 162.0 million bushels). The past two months have seen actual NOPA estimates come in below the average trade guess by 2 MB.
Argentina hopes to increase its corn exports to Mexico, where it sent less than 100,000 MT last year, as part of its effort to gain market share for its growing corn output, an Agriculture Ministry official said Tuesday. The presidents of Argentina and Brazil, South America's largest economies, said they would seek closer relations with Mexico and other Latin American countries that could be threatened by a more isolated United States.
The Taiwan Flour Millers' Association has issued an international tender to purchase 102,850 MT of grade 1 milling wheat to be sourced from the United States.
Crude oil will look to EIA for data on inventories. Traders look for a 3.5 million barrel build in crude stocks on the week. Last week, inventories ballooned by over 13 million barrels and for 5 weeks running stocks data have come in higher than expectations.
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