Sugar Markets Rise Slightly Amid War, Oil Price Pressure, and Strong Global Supply

Wheat: Wheat closed lower in both markets last week on forecasts and reports for improving weather in Wheat areas and on news that a potential MOU with Iran only was waiting on President Trump to approve it. The crop condition ratings are now the lowest in over 30 years in HRW areas and have provided some support for prices in KC.

The US denies that a MOU is ready but said one is close at hand. USDA showed deteriorating crop conditions last week as rains are now occurring in the central areas of the Great Plains and are forecast to continue. Conditions are good in the US Midwest and in much of Europe but Russia has been too cols. The weather is now featuring precipitation for parts of the Midwest along with variable temperatures.

Weekly Chicago Soft Red Winter Wheat Futures

Weekly Kansas City Hard Red Winter Wheat Futures

Weekly Minneapolis Hard Red Spring Wheat Futures
Unavaiable today

Corn: Corn was lower last week on news that a potential MOU with Iran only was waiting on President Trump to approve it. The US has said that a MOU is close but not yet final. Strong planting and emergence progress are reported in reports released by USDA last week and on forecasts for good growing conditions in the Midwest. Planting has been very active in all of the Midwest and is now over half done. It looks dry this week. Temperatures in the Midwest should be variable for the next week. Conditions are called good in Argentina and big production is expected there. Oats were lower and trends are mixed on the weekly charts.

Weekly Corn Futures

Weekly Oats Futures

Soybeans and Soybean Meal: Soybeans NSD Soybean Meal were sharply lower and Soybean Oil was lower last week on reports of improved conditions in the Midwest. Rapid planting and emergence progress was shown by USDA last week and forecasts for good conditions continue. Condition is rated high by USDA in the latest reports.

Futures were also lower on the lack of news on China and Iran although the war in Iran was hotter over the weekend. Temperatures have been cool in the Midwest. Warm temperatures are expected for the next week. There is talk that more Soybeans could be planted as Corn planting is more expensive. The big South American harvests are also weighing on prices.

Weekly Chicago Soybeans Futures

Weekly Chicago Soybean Meal Futures

Rice: Rice closed lower last week on fund selling tied to good weather in growing areas and despite ideas of sharply reduced planted and harvested area in the US. Production was cut back mostly due to reduced planted and harvested area. Yields were actually held high in the USDA estimates. Traders anticipate less production this year in the US and around the world due to low prices. USDA said that Rice planted area would be about 12% less in the coming year. Planting and emergence are ahead of average, and condition is rated high but slipped a little last week. Demand remains moderate to poor for US Rice.

Weekly Chicago Rice Futures

Vegetable Oils: Palm Oil was a little higher last week along with outside markets and Canola was a little higher after trading much higher early in the week as conditions remain hot and dry in the Prairies.

Weekly Malaysian Palm Oil Futures:

Weekly Chicago Soybean Oil Futures

Weekly Canola Futures

Cotton: Cotton was much lower last week on weaker export sales and on improving weather for Cotton growing areas of the US. USDA showed that planting progress and emergence were running at near normal last week and the weather has improved with increased precipitation for all areas, but mostly the Delta and Southeast. Forecasts and reports of scattered showers in Cotton areas continue for Texas. Temperatures will be variable. Trends are down on the daily and weekly charts.

Weekly US Cotton Futures

Frozen Concentrated Orange Juice and Citrus: Futures were a little higher in choppy trading last week and trends are still mixed on the daily charts. The market firmed along with most commodities markets on news that a potential MOU with Iran only was waiting on President Trump to approve it. It is still dry in Florida. The weather for the next crop is dry but seasonal and some rains are now being reported. The weather is considered good for production in Mexico but it is dry in Brazil. Scattered showers are still reported in eastern Brazil but many areas are drying out seasonally.

Weekly FCOJ Futures

Coffee: Both markets were lower last week. The US and Iran are still negotiating even with the war turning hotter again. The next crop is developing well in South America and Asia amid good conditions. World production conditions are generally good. Mostly dry conditions are being reported now in Brazil. Mexico is in good condition, as Central America. Vietnam has had drier weather and conditions there are called good. Some showers are starting to appear there.

Weekly New York Arabica Coffee Futures

Weekly London Robusta Coffee Futures

Sugar: New York and London were a little higher last week. The Iran war drags on and the strait of Hormuz remains closed. The war has increased world petroleum prices and could divert demand from Sugar production to production of ethanol. Trends are mixed on the daily charts in both markets. There are good sugar supplies for the market from good growing conditions for cane and beets around the world. Drier weather in parts of Brazil and India have been good for the sugar cane harvest.

Weekly New York World Raw Sugar Futures

Weekly London White Sugar Futures

Cocoa: Both markets were lower last week. Daily trends are turning down in both markets. A big main crop harvest has arrived in West Africa and rains have been positive for the next crop. There are still reports of increased production potential in other countries outside of West Africa, including Asia and Central America. The market feels that there is less demand due to the high prices seen last year and the lack of demand is expected to continue.

Weekly New York Cocoa Futures

Weekly London Cocoa Futures

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