EUR/USD rose to 1.1990. WTI crude oil went up to 48.25 USD/barrel.

In August, OPEC total crude oil production dropped by 79,000 barrels, according to analysts and consultants submitted to the organization, to an average of 32.8 million barrels. OPEC's own production is closely monitored as countries excluded from the deal - Libya and Nigeria - have increased their production by more than expected this year. OPEC's current production is still slightly higher than the volume of crude oil that the group claims will be sought by the cartel this year, at a level of 32.7 million barrels a day, but it is still 79,000  barrels less than  July.

Yesterday the major news on the grain markets was the data from the USDA September report. As expected, the US oil biodiesel consumption forecast is on the rise. This, coupled with the lower than expected palm oil stocks in Malaysia, has supported the oil sector as a whole. In Paris, the rapeseed price also rose.

The USDA report also supported the wheat in Chicago after a larger cut in the global stocks. The decrease was clearly surprising because it can not be said that supply is limited.

Data for the crops are as follows:
Wheat - global  production of 744.85 million tonnes at 743.18 million tonnes in August and 753.31 million tonnes last season. Consumption will be 737.54 million tonnes (737.05 and 738.67), and stocks 263.14 million tonnes (264.69 and 255.83). Russia's wheat crop forecast has grown to 81 million tonnes from 77.5 million tonnes in August. There are changes for Turkey  +0.5 million tonnes to 20 million tonnes and a drop for the EU by 0.69 million tonnes.

Corn - global production is 1,032.63 million tonnes (1,033.47 and 1,071.23). Consumption will be 1,057.12 million tonnes (1,061.22 and 1,058.13) and stocks 202.47 million tonnes (200.87 and 226.96). The growth of crops is for Argentina with +2 million tonnes to 42 million tonnes, Mexico with +1 million tonnes to 26 million tonnes. Reduction in Russia by 0.5 million tonnes to 16 million tonnes and Ukraine by 1 million tonnes to 27.5 million tonnes. The average US corn yield was again and surprisingly increased by 0.4 bushels / acre to 169.9 bushels / acre and the crop rose to 360.30 million tonnes (359.50).

Soybeans - the global soybeans crop will be 348.44 million tonnes (347.36 and 351.44), and the stocks are 97.53 million tonnes (97.78 and 95.96). The average US soybeans yield is also increased by 0.5 bushels / acre to 49.9 bushels / acre. The crop rose to 120.59 million tonnes (119.23).

There is nothing to comment much on these figures. The crops are very good again, wheat and soybeans stocks are growing. The exception is corn, where they drop significantly compared to the previous season. Now the prices - there is nothing to expect, at least no surprises. Most likely, they will remain stable at least until the events surrounding the new crop in South America are clear.

In the Black Sea region it is confirmed that there will be a lot of wheat. Some price support may be the reduction in corn crops in Russia and Ukraine, which combined with the higher import duty for corn in the EU may raise its price. 

The agency FranceAgrimer once again raised the forecast for soft wheat production in France during the current season. It is now at 37.8 million tonnes at 36.8 million tonnes in the August forecast. Compared to the crop in 2016, the growth is by 37.1%. The forecast for rapeseed yields is raised from 5.2 million tonnes in August to 5.5 million tonnes. This is 15.6% more than 2016. The corn crop remains unchanged - 12.75 million tonnes, which is 8.9% more than 2016-2017. The market will be balanced and France will be a major competitor to the Black Sea region's exporters. Obviously this season, French wheat will be directed mainly to EU countries, but there will also be some export to North Africa.

In August vegetable oil imports to India grew by 8% compared with August 2016, to 1.4 million tonnes. Palm oil imports reached 868,740 tonnes and soybeans oil 289,750 tonnes.

Yesterday corn futures in Chicago fell by 3.5 to 6 cents / bushel.
Yesterday soybeans futures in Chicago fell by 7.5 - 10.5 cents / bushel. USDA reported a private export sale of 132,000 tonnes of soybeans to an unknown destination.
Chicago wheat futures rose moderately yesterday. Japan is looking to buy 139,382 tonnes of wheat from the US, Canada, and Australia.