Traders and analysts have been ratcheting up their figures for Chinese corn import potential from 1.5 to 5 million tons. COFCO Corporation of China sees Chinese soybean imports at 56.0-56.6 million tons for 2011/12, up around 9-10% from last season. The USDA estimated ‘11/12 Chinese soybean imports at 56.5 million tons in its July S&D Report.
More pressing today, however, is the weather. And while we expect the initial market impact of the heat dome expected to move about the Corn Belt is already priced in, such talk may continue to underpin prices here into the weekend. It looks like southern Minnesota and northern Iowa will get the only material rains through tonight before the heat wave begins. The next chance for cooler air and rainfall is now firmly a week away.
We look for corn to open firm and soybeans to open 1 to 3 higher.
Daily CME spot market prices:
Block cheese: $2.0025 (down 3.25 cents)
Barrel cheese: $2.1025 (unchanged)
Butter: $2.03 (unchanged)
Grade A NFDM: $1.62 (down 0.5 cent)
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