Stock markets roiled again overnight as China’s market fell another 7% before hitting circuit breakers. Crude oil also plummeted to new 15 year lows with front-month January contracts near $32 a barrel. Meanwhile, grains grinded lower with nearby corn hovering around support at $3.50.
Soy harvesting has started in Brazil's top two growing states Mato Grosso and Parana, with farmers concerned over irregular rains causing damage in the center-west soy belt. Harvesting is probably less than 1% complete in top growing state Mato Grosso, behind this time last year, said Endrigo Dalcin, president of state growers' association Aprosoja.
Japan's Ministry of Agriculture bought a total of 131,031 MT of food quality wheat from the United States, Canada and Australia in a regular tender that closed late on Thursday. Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of the country's second most important staple after rice and buys the majority of the grain for milling via tenders typically issued three times a month.
China clobbered global equity markets yet again, sending U.S. equity futures into freefall. In China, the trading day was over just as it began thanks to a swift selloff. For the second time this week, Chinese equity markets tripped their newly-installed “circuit breaker,” or mechanism used to prevent panic selling, just 30 minutes into the start of trade. The moves led to an accelerated pace of selling across the world as the Chinese yuan slipped further, hitting a five-month low.
WEEKLY EXPORT SALES
ACTUAL EXPECTED
Corn 252.9 400-600
Soybeans 638.7 400-700
Wheat 76.5 200-400
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