Highlights
Dr. Cordonnier, the guru of South American crop production, lowered his Argentine soybean production estimate to 45.0 million mt (USDA 49.5). He left Argentine corn and Brazilian corn and bean production unchanged.
India is considering selling 2 to 3 million mts of wheat from state reserves to cool soaring domestic prices. India, the world’s second-largest wheat producer behind China, banned exports in May, but domestic prices remain high and the natives are getting restless. This news is not bearish wheat; it is bullish as wheat reserves will be further diminished. We say again, 2023 will be the fourth consecutive year the world consumes more wheat than it produces. How many more years can we do that?
US crude oil inventory declined 3.069 million barrels last week after unexpectedly rising 7.8 billion barrels the previous week, ending a four-week streak of drawdowns. The market expected a 167,000 barrel draw-down. The nation's Strategic Petroleum Reserves (SPR) is now at its lowest level in 38 years.