The EUR/USD currency pair dropped to 1.0613. The price of US WTI light crude oil rose to 68.12 USD/barrel.

The Organization of the Petroleum Exporting Countries (OPEC) lowered its growth forecasts for demand for "black gold" for both this year and the next, marking the fourth consecutive monthly reduction, as it belatedly acknowledged a slowdown in growth in the largest consumer, China. This year, global consumption will increase by 1.8 million barrels per day, or just under 2%, according to the organization's monthly report. This is 107,000 barrels per day less than previously forecast, as data from all Asian countries, including China and India, as well as from Africa, came in below expectations. OPEC projects that global oil consumption will average 104 million barrels per day this year. Daily demand is expected to increase by an additional 1.5 million barrels in 2025, which is 103,000 barrels below the organization's previous forecast.

Yesterday, grain prices in Chicago declined again following widespread selling and profit-taking. New rainfall in the wheat belt suppressed prices, and assessments of crop conditions were notably improved.

Yesterday, Chicago December wheat futures fell by 13 1/4 cents to $5.52 1/4 per bushel. Wheat futures in Chicago and Paris declined as well. As of November 10, 2024, 91% of the planned winter wheat acreage has been sown in the United States (compared to 87% a week earlier, 92% a year earlier, and a five-year average of 93%). Of the crops, 44% are rated in good to excellent condition (up from 41% a week earlier but down from 47% a year ago). Rainfall is improving conditions across the board! During the week ending November 7, 2024, U.S. wheat export inspections reached 347,321 tons (205,798 tons the previous week and 244,747 tons a year ago), with total season exports reaching 10.11 million tons (up from 7.48 million). Japan is seeking to buy 114,403 tons of wheat from Australia, Canada, and the U.S. France’s Ministry of Agriculture raised its forecast for the soft wheat production to 25.56 million tons, up by 0.13 million tons. According to FAS USDA, Canada’s wheat production for 2024/25 is forecasted at 34.3 million tons (compared to 32.9 million in 2023/24). Wheat ending stocks in Canada are expected to reach 4.6 million tons (down by 18.5%), while exports are estimated at 25.5 million tons (up from 25.37 million). Jordan purchased 60,000 tons of hard milling wheat with February delivery. No rainfall is expected in Kazakhstan, Ukraine, or western Russia over the next 10 days. In Ukraine, winter grains have been sown on 96.3% of the planned area.

Yesterday, CBOT December corn futures dropped by 1 1/2 cents to $4.28 1/2 per bushel. Corn futures in Chicago and Paris declined under pressure from a strengthening dollar. USDA reported a private export sale of 110,500 tons of corn to Mexico. In the United States, 95% of the corn areas have been harvested (compared to 91%, 86%, and 84% in previous years). Weekly export inspections totaled 793,012 tons (797,639 and 718,664 tons in prior weeks), with total season exports reaching 8.23 million tons (up from 6.27 million). Anec expects corn exports from Brazil in November to reach 5.38 million tons (up by 0.61 million tons from last week’s forecast). Algeria is seeking to purchase 255,000 tons of feed corn from Brazil or Argentina for early December delivery. Despite heavy rainfall, France’s Ministry of Agriculture raised its forecast for the corn production from 14.5 million tons to 14.6 million tons. In October, Ukraine exported 6 million tons of grain (up 30% from September). At this high export rate and with a smaller production compared to 2023, stocks will deplete quickly.

Yesterday, January soybean futures in Chicago fell by 11 3/4 cents to $10.10 1/2 per bushel. Soybean futures in Chicago, rapeseed futures in Paris, and canola futures in Canada all declined. Soybeans have been harvested from 96% of the crop areas (compared to 94%, 94%, and 91% in prior years). Weekly U.S. soybean export inspections reached 2,227,907 tons (2,307,852 and 2,011,309 tons in previous weeks), with total season exports of 15.23 million tons (up from 14.38 million). Anec projects Brazil’s soybean exports for November at 2.81 million tons (up by 0.36 million tons). Malaysia is likely to implement the B40 biodiesel mandate in stages over the first six months of 2025 to give producers time to increase their productions. As a result, palm oil prices have slightly declined. Rainfall in Argentina is expected to accelerate the 2024/25 soybean planting campaign.