TOP STORIES: 


 
Wheat Falls on Lower Black Sea Prices

Wheat for December delivery fell 1% to $5.44 1/4 a bushel on the Chicago Board of Trade Friday, reacting to indications of lower prices in Russia and Ukraine. Falling prices for Eastern European and Russian wheat put pressure on U.S. wheat futures all week, and continued Friday, "on more aggressive Ukrainian farmer selling and an easing tone in Black Sea prices," said Charlie Sernatinger of ED&F Man Capital. Earlier this week, Egypt's state grain buyer bought 405,000 metric tons of Russian wheat at an international tender, with the cheapest cargo being at $255.90 per ton -- down from previous tenders. 


 
WASDE Expectations Send Soybeans Higher -- Market Talk

12:37 ET - Soybean futures, which started trading on the CBOT lower, turn higher midday on expectations that next months' WASDE report from the USDA will show a drop in US soybean production. Yet predictions indicate that "Chinese demand remains strong," says Arlan Suderman of StoneX. "Corn was mostly a follower, while wheat prices came under light pressure." Corn futures may be taking their cue from soybeans, but are leading the CBOT higher Friday, up 0.9%, while soybeans are up 0.5% and wheat is down 0.6%. (kirk.maltais@wsj.com; @kirkmaltais) 



  STORIES OF INTEREST: 

 
2020 Corn Stockpiles Expected to Fall -- Market Talk 


  11:48 ET - Stockpiles of US corn are expected to be much lower than estimates made in June 2020, with estimates provided to The Wall Street Journal pegging corn stocks at 2.24 billion bushels -- well down from 5.22 billion bushels reported by the USDA in its last quarterly stocks report in June. Soybean stocks are also expected to fall, to 575 million bushels from 1.39 billion bushels projected in June. Wheat stocks are expected to rise, however -- to 2.16 billion bushels from 1.04 billion bushels in June. After starting the day down Friday, CBOT grain futures have mostly turned higher - with corn up 0.8% and soybeans up 0.6%. Wheat is down 0.8%. (kirk.maltais@wsj.com; @kirkmaltais) 

 
No New Flash Sale of Grain to China Announced -- Market Talk 


  09:30 ET - After announcing flash sales of export grains to China most days this month, the USDA has now not announced a new sale to China for the second consecutive day -- instead announcing 100,000 metric tons of soybean meal had been sold to unknown destinations. Major flash sales coming to a stop, even only temporarily, may put weight on CBOT grain futures Friday. "This lack of sales combined with elevated harvest pressure [is] to weigh on futures, especially with technicals breaking down," says Karl Setzer of AgriVisor. "The majority of today's session will be spent with traders starting to shore up positions ahead of next week." (kirk.maltais@wsj.com; @kirkmaltais) 


  THE MARKETS: 

 
Hog Futures Finish Week Shrugging Off USDA Report -- Market Talk 


  15:14 ET - Lean-hog futures trading on the CME finished trading up 1.8% to 64.425 cents a pound. Livestock traders across the board generally rejected the results of the USDA's quarterly hogs and pigs report released following the market's close yesterday. "Lean hog traders threw away yesterday's USDA quarterly hogs and pigs report, feeling it did not reflect reality," Arlan Suderman of StoneX says. Live-cattle futures dropped ahead of this afternoon's cattle-on-feed report, falling 0.8% to $1.114. (kirk.maltais@wsj.com; @kirkmaltais)