EUR / USD index remained stable at 1.1757. WTI crude oil dropped to 48.65 USD / barrel.

The Organization of Petroleum Exporting Countries (OPEC) has increased its demand for crude oil  for this year and next year against a background of higher-than-expected fuel consumption and weaker forecasts for competitive supply. OPEC raises its forecasts of the volume it is expected to deliver in 2017 and 2018 at around 200,000 barrels per day, according to a monthly report from the Vienna Secretariat. However, production recovery in Libya has lifted the group's production last month to the highest levels this year, undermining its plan to rebalance surplus on the global markets.The organization raises its forecasts for global oil demand in 2017 and 2018 by about 100,000 barrels per day for each year. Consumption has been stronger than expected in developed countries in the second quarter, she added. At the same time, OPEC reduces its competitive supply  by 50,000 barrels a day for 2017 and 90,000 barrels per day for 2018 after weak US and Canadian mining in the past quarter. Despite the increase in production, the report indicates that OPEC can make more substantial progress in depleting stocks in the second half of the year. If the group's output remained stable at 32.87 million barrels per day, it would have to shrink global stocks by about 68 million barrels.

Yesterday USDA published its August report on the grain balance in the world. We waited something, and it was quite another. The surprises were quite a bit negative.
Wheat - global wheat production in 2017 - 2018 will be 743.18 million tonnes at 737.83 million tonnes in the July forecast. Consumption of wheat in the world will be 737.05 million tonnes, and stocks 264.69 million tonnes (260.60). Production as always grows mainly in the Black Sea region. The wheat crop in Russia will be 77.5 million tonnes (72) and in Ukraine 26.5 million tonnes (24).
Corn - the production of corn in the world will be 1,033.47 million tonnes (1,036.90), consumption 1.061.22 million tonnes, and stocks 200.87 million tonnes (200.81). US corn crop will be 359.50 million tonnes (362.09), and in the EU 60.01 million tonnes (61.6).

Soybeans- the global production of soybeans will reach 347.36 million tonnes (345.09), and stocks 97.78 million tonnes (93.53). US production will be 119.23 million tonnes (115.94).
Everywhere increases and they are significant - wheat in the Black Sea region and soybeans in the USA. Wheat and soybeans stocks in the world are growing significantly. The fall of US corn crops is insignificant. More was expected.
Analysts expected a decline in the average US soybean production to 47.5 million tonnes and the USDA raised it by 1.4 bushels / acre to 49.4 bushels / acre.

Strategie Grains raises its forecast for EU soft wheat crop to 141 million tonnes at a July forecast of 140.7 million tonnes.

Yesterday wheat futures in Chicago fell by 14 - 19 cents / bushel. During the week 28th July - 3rd August  export sales of wheat from the US are at the level of 464,277 tonnes. The export reaches 568,200 tonnes. The biggest buyers were Indonesia and South Korea.

Yesterday soybeans futures in Chicago collapsed by 23 - 33 cents / bushel. Export sales of US soybeans are 45,000 tonnes of the old crop + 639,300 tonnes of the new crop. Exports reached 612,300 tonnes. The biggest buyers were China, an unknown buyer and Mexico. Sales of soybeans meal reached 6,000 tonnes + 136,500 tonnes and soybeans oil 27,700 tonnes.

Yesterday corn price  in Chicago fell by 14 - 15.25 cents / bushel. Export sales of US corn are at the level of 52,017 tonnes + 628,442 tonnes. Exports reached 973,527 tonnes. The largest buyers are Colombia, Mexico and an unknown buyer. Average US corn yield is predicted by the USDA at 169.5 bushels / acre. CONAB raised its forecast for Brazil's corn crop in the current season by 1.2 million tonnes to 97.2 million tonnes. China sold 150,099 tonnes of corn from the state stocks , crop 2013 and 2014.

Wheat sales are good, they do not shine, but they are good. Soybeans sales, however are not enjoyable.The new crop is very difficult to sell.