BASIC & RECENT MARKET INFO

Highlights Banking regulators decided Friday afternoon First Republic Bank cannot be saved; there is no more time to pursue a rescue through the private sector. The Federal Deposit Insurance Corporation (FDIC) said it was preparing to place First Republic Bank under receivership. Saturday morning, FDIC asked banks for their best and final offers by this afternoon to take over First Republic Bank. JP Morgan and PNC are the most likely bidders. Several other banks, including Ba

Highlights Early Monday news was China may announce ten COVID-19 easing measures as early as Wednesday, after three years of zero-tolerance measures; that news had crude oil, grains, soybeans higher yesterday morning. Just before the price dropped late yesterday morning, the news was released that, effective today, China would cut retail gasoline and diesel prices by about $62.51 per mt to support the economy. China’s crude refineries were ordered to maintain production and

Highlights Soybean oil went down the daily limit and “locked” there in five contract months. “Locked” means there was no trading at limit down. Everybody wanted to sell, but no one wanted to buy and, so, no trades. There is a huge difference between “trading” at limit down and “locked” limit down. Due to soybean oil closing down the daily price change limit yesterday, the entire soybean complex will have expanded limits today. Soybean limits are $1.50, soybean oil 7 cents a p

Highlights The House of Representatives passed a resolution yesterday to force the adoption of the agreement by the railroads and the unions and passed a second resolution requiring the railroads to allow seven days of sick leave for the union members. The Senate must approve both measures for it to be sent to the White House for Biden to sign. Will the Senate pass the same two bills? Probably. Will Biden sign it? Probably. Will all of the above happen within a matter of days

Highlights Mexico's President Obrador clarified that the GMO corn import ban in 2024 would apply to human consumption corn, but GMO corn would still be allowed for animal feed. About half of Mexico’s corn imports are for human consumption. Expect more changes. Analysts expected the weekly US commercial (non-government owned) crude oil inventory report would show a decline of about 2.5 million barrels. However, the American Petroleum Institute (API) said the draw-down was 7.85

Highlights USDA announced yesterday morning the sale of 167,000 mts of new crop soybeans to China. Crop Consultant Dr. Michael Cordonnier reduced his corn yield forecast by 3 bushels to 170. Allendale’s yield producer survey has corn at 172.39 bpa (USDA 175.5; Pro Farmer 168.1). Aflatoxin problems in corn in the Southern States. USDA expects regular reporting of weekly export sales to resume September 15th due to problems with its new system last week. All markets hate un

Highlights A few days ago, we reported a client’s fuel supplier told him that they were unable to get a load of diesel and their truck had to come home empty. No reason was given. Another of our clients did some research and learned that an electrical fire disabled the ability for the supplier to load tankers. Thanks, Don. USDA announced yesterday morning the sale of 264,000 mts of new crop soybeans to unknown destination. Soybeans settled yesterday 24 cents off the day’s l