REC TO BOOST OUTPUT IN 2011, CUT COSTS
OSLO, Nov 2 (Reuters) - Norway's Renewable Energy Corporation boosted its production targets for solar energy components and outlined plans to slash production costs with technology from its new plant in Singapore.
Along with much of the solar industry, REC is ramping up production which is putting pressure on prices, while demand is clouded by reduced state subsidy schemes in key markets.
S.KOREA SAYS TO BUILD $8.2 BLN OFFSHORE WIND FARMS
SEOUL, Nov 2 (Reuters) - South Korea said on Tuesday it would invest 9.2 trillion won ($8.23 billion) by 2019 to build offshore wind farms in its drive to grab a greater slice of the growing global offshore renewable energy market.
South Korea, home to some of the world's top shipyards and offshore plants, hopes the government-led initiative would help it increase exports of offshore wind technologies and raise the portion of renewable energy in its energy mix to a larger extent than conventional on-land projects.
U.S. WIND POWER POSTS SLOWEST QUARTER SINCE 2007
WASHINGTON, Oct 29 (Reuters) - The U.S. wind power industry had its slowest quarter since 2007 in the just-ended third quarter, as investors turned away from the sector after Congress did not pass a renewable power mandate, an industry group said.
The American Wind Energy Association (AWEA) said U.S. developers added 395 megawatts of electricity capacity at wind farms in the third quarter -- the slowest quarter since 2007. Year-to-date installations of 1,634 MW, were down 72 percent versus the same period last year.
UK POWER MARKET REFORMS NEEDED BY END 2011-NAT GRID
LONDON, Nov 2 (Reuters) - Britain needs to decide on what electricity market reforms to implement by the end of next year to ensure it hits its renewable energy targets, UK energy network operator National Grid said on Tuesday.
The government is set to publish an initial consultation on market reform in a few weeks, but delays in turning them into legislation could deter investment in much-needed offshore wind farms and new nuclear power plants.
CZECH GOVT PROPOSES 32 PCT TAX ON CARBON CREDITS
PRAGUE, Nov 2 (Reuters) - The Czech government on Tuesday proposed a 32 percent tax on carbon credits that power producers are set to receive in 2011 and 2012 as the government seeks to limit price hikes resulting from a solar energy boom.
According to the official government proposal, the tax will apply only to generators that produce power for third parties, a condition that means majority state-owned CEZ would shoulder a large part of the burden.
CLIMATE PHENOMENON MAY GRIP EUROPE THIS WINTER
LONDON, Oct 29 (Reuters) - Weather and renewable energy supplies across much of western Europe could be hit this winter by the North Atlantic Oscillation (NAO), a phenomenon that can exert a powerful influence over temperature and rainfall.
Meteorologists say a negative NAO usually points to colder, calmer and drier winters in northern Europe and wetter, windier weather across the Iberian Peninsula and Italy as westerly winds from the Atlantic are pushed south.
UK FIRST TO GREEN IGNORED HEATING SECTOR
LONDON, Oct 28 (Reuters) - Britain's new support scheme for renewable heat, the first of its kind, would mostly benefit small investors and services companies, given a lack of Scandinavian-style heating networks, experts said.
Britain announced last week an 850 million pounds ($1.35 billion) support scheme for renewable heating projects, initially from June 2011 to 2014/2015, against the backdrop of wider spending cuts.
UK WATER MILLS MAKE IT INTO GOVT GREEN SUBSIDIES
LONDON, Oct 28 (Reuters) - Electricity harnessed from old water mills and turbines can now benefit from government green power subsidies in Britain, the Department for Energy and Climate Change announced on Thursday.
Modernised water wheels and turbines are now included in the government's feed-in-tariff (FIT) scheme, which financially rewards small-scale renewable energy projects.
BULGARIA COULD MISS GREEN ENERGY TARGETS-INDUSTRY
SOFIA, Oct 28 (Reuters) - Bulgaria is likely to miss its green energy targets due to unrealistic forecasts for power production from hydropower plants and biomass, an industry report showed on Thursday.
The European Union member has pledged to boost the share of renewable energy to 11 percent of total energy consumption in 2011 and to 16 percent by 2020 and sent to Brussels an action plan outlining how it will hit green power goals.
ITALY RENEWABLE POWER CAPACITY UP 11 PCT IN 2009
MILAN, Oct 27 (Reuters) - Italy's installed capacity of renewable energy generation jumped 11 percent to just above 26,500 megawatts in 2009, driven by a nearly 40 percent spike in wind park capacity, state energy management agency GSE said.
Electricity generated from renewable energy sources accounted for 19 percent of total power consumption in the country last year as Italy aimed to meet a 26 percent target in 2020 under the European Union plan to fight climate change.
UK AWARDS ONE OF TOP WORLD TIDAL POWER PROJECTS
LONDON, Oct 27 (Reuters) - Britain has awarded one of the world's largest planned tidal power projects to a consortium of utility International Power , Morgan Stanley and tidal technology firm Atlantis Resources Corporation.
Britain's Crown Estate said it had retendered the 400 megawatt (MW) project in northern Scotland at the end of March after the previous developer pulled out at the last minute due to over commitment. It provided no details of the company involved.
Thursday, November 4, 2010
20101104 0930 Biofeuls Related News.
ADM TO BUILD SECOND BIODIESEL PLANT IN BRAZIL
CHICAGO, Nov 2 (Reuters) - U.S. agricultural processor Archer Daniels Midland will begin construction of its second Brazilian biodiesel plant in 2011 and the facility should be completed in 2012, CEO Patricia Woertz said on Tuesday.
The facility will be built adjacent to ADM's soybean crush plant and oil refinery in Joacaba, Santa Catarina, and will have an annual capacity of 164,000 tonnes, Woertz said.
WEEVIL BIGGEST THREAT TO BRAZIL CANE - EXPERTS
PIRACICABA, Brazil, Nov 1 (Reuters) - The fast expansion of Brazil's cane sector over the past few years brought not only debt to many companies but also a tiny though potentially devastating threat: the sugarcane weevil.
The incidence of the insect has nearly doubled in the past six years, to 350,000 hectares of cane fields -- taking into account only the cases in Sao Paulo, Parana and Minas Gerais. The three states account for 5.7 million hectares out of Brazil's 8 million hectares planted with cane.
CANE ETHANOL LEADER BRAZIL CONSIDERS USING CORN
BRASILIA, Oct 27 (Reuters) - Sugar cane ethanol pioneer Brazil, which touts the efficiency and environmental qualities of its biofuel, could soon begin making it from less-efficient corn to soak up excess grains in remote areas.
The combined industry and governmental steering committee for corn, which met on Wednesday, said it had commissioned a study by state researcher Embrapa to look at the viability of making ethanol in corn-growing state Mato Grosso.
CELLULOSIC PIONEERS APPROVE U.S. BIOMASS AID PROGRAM
WASHINGTON, Oct 27 (Reuters) - Pioneers in cellulosic ethanol, tapped to leapfrog corn-based ethanol, say they are studying or plan to use a new U.S. program that pays farmers and forest owners to experiment with energy crops.
The Biomass Crop Assistance Program, estimated to cost $461 million, took effect on Wednesday. A wide variety of materials are eligible for support, from wood chips and crop residues to switchgrass, woody plants, algae and animal and food waste.
GERMANY TO RAISE BIOETHANOL CONTENT IN GASOLINE
HAMBURG, Oct 27 (Reuters) - The German cabinet on Wednesday approved a proposal to raise the maximum level of bioethanol allowed in blended gasoline to 10 percent from 5 percent now, the government said in a statement.
The change will take place from January 2011, the statement said.
ADM WEIGHS SELLING BRAZIL ETHANOL OPERATIONS-VALOR
SAO PAULO, Oct 27 (Reuters) - U.S. agricultural processor Archer Daniels Midland is considering selling its 49-percent stake in a cane-based ethanol plant it has in Brazil, local newspaper Valor Economico said on Wednesday.
The paper named no sources regarding the potential sale of the Limeira do Oeste mill, in Minas Gerais state, which has a crushing capacity of 3 million tonnes a year and marked ADM's entrance into the Brazilian ethanol market in 2008.
MELTING MARGINS PUSH INDIA SUGAR MILLS TO ETHANOL
MUMBAI, Oct 27 (Reuters) - Indian sugar firms, eager to sell more ethanol in a year when the sweetener promises lower returns, look likely to boost capacity and output of the biofuel after a false start two years ago.
Domestic sugar prices fell below the cost of production in the quarter to September, and prospects look bleak for the first half of the season begun in October, making government-regulated prices for ethanol more attractive.
CHICAGO, Nov 2 (Reuters) - U.S. agricultural processor Archer Daniels Midland will begin construction of its second Brazilian biodiesel plant in 2011 and the facility should be completed in 2012, CEO Patricia Woertz said on Tuesday.
The facility will be built adjacent to ADM's soybean crush plant and oil refinery in Joacaba, Santa Catarina, and will have an annual capacity of 164,000 tonnes, Woertz said.
WEEVIL BIGGEST THREAT TO BRAZIL CANE - EXPERTS
PIRACICABA, Brazil, Nov 1 (Reuters) - The fast expansion of Brazil's cane sector over the past few years brought not only debt to many companies but also a tiny though potentially devastating threat: the sugarcane weevil.
The incidence of the insect has nearly doubled in the past six years, to 350,000 hectares of cane fields -- taking into account only the cases in Sao Paulo, Parana and Minas Gerais. The three states account for 5.7 million hectares out of Brazil's 8 million hectares planted with cane.
CANE ETHANOL LEADER BRAZIL CONSIDERS USING CORN
BRASILIA, Oct 27 (Reuters) - Sugar cane ethanol pioneer Brazil, which touts the efficiency and environmental qualities of its biofuel, could soon begin making it from less-efficient corn to soak up excess grains in remote areas.
The combined industry and governmental steering committee for corn, which met on Wednesday, said it had commissioned a study by state researcher Embrapa to look at the viability of making ethanol in corn-growing state Mato Grosso.
CELLULOSIC PIONEERS APPROVE U.S. BIOMASS AID PROGRAM
WASHINGTON, Oct 27 (Reuters) - Pioneers in cellulosic ethanol, tapped to leapfrog corn-based ethanol, say they are studying or plan to use a new U.S. program that pays farmers and forest owners to experiment with energy crops.
The Biomass Crop Assistance Program, estimated to cost $461 million, took effect on Wednesday. A wide variety of materials are eligible for support, from wood chips and crop residues to switchgrass, woody plants, algae and animal and food waste.
GERMANY TO RAISE BIOETHANOL CONTENT IN GASOLINE
HAMBURG, Oct 27 (Reuters) - The German cabinet on Wednesday approved a proposal to raise the maximum level of bioethanol allowed in blended gasoline to 10 percent from 5 percent now, the government said in a statement.
The change will take place from January 2011, the statement said.
ADM WEIGHS SELLING BRAZIL ETHANOL OPERATIONS-VALOR
SAO PAULO, Oct 27 (Reuters) - U.S. agricultural processor Archer Daniels Midland is considering selling its 49-percent stake in a cane-based ethanol plant it has in Brazil, local newspaper Valor Economico said on Wednesday.
The paper named no sources regarding the potential sale of the Limeira do Oeste mill, in Minas Gerais state, which has a crushing capacity of 3 million tonnes a year and marked ADM's entrance into the Brazilian ethanol market in 2008.
MELTING MARGINS PUSH INDIA SUGAR MILLS TO ETHANOL
MUMBAI, Oct 27 (Reuters) - Indian sugar firms, eager to sell more ethanol in a year when the sweetener promises lower returns, look likely to boost capacity and output of the biofuel after a false start two years ago.
Domestic sugar prices fell below the cost of production in the quarter to September, and prospects look bleak for the first half of the season begun in October, making government-regulated prices for ethanol more attractive.
20101104 0929 Global Market News.
OIL: Crude rises as Fed stimulus weakens dollar
SINGAPORE, Nov 4 (Reuters) - Oil rose for a fourth straight day on Thursday, trading near six-month highs, as the dollar weakened after the U.S. Federal Reserve met market expectations with a plan to buy government debt to boost the economy.
The U.S. central bank said it would buy around $75 billion in Treasury bonds per month through mid-2011, totaling around $600 billion.
COMMODITY MARKETS: Gold dives further after Fed; most markets unmoved
NEW YORK, Nov 3 (Reuters) - Gold fell sharply but most commodities barely budged on Wednesday after the U.S. Federal Reserve decided, as expected, to buy billions of dollars in government debt to boost the economy, prompting investors to return their focus to economics and fundamentals.
"The Fed statement today basically removes a large overhang from the markets and the question is what we'll trade off from here," said Adam Sarhan at New York's Sarhan Capital. "To me, the demand equation for most commodities remains strong and supply remains challenging. That'll be the focus going forth."
GLOBAL MARKETS: Dollar steady, Asia stocks climb after Fed
HONG KONG, Nov 4 (Reuters) - Japanese stocks rallied 2 percent on Thursday after the Federal Reserve's new bond buying programme was close enough to expectations to keep investors selling yen and searching for higher-yielding assets.
"By undertaking more Treasury bond purchases, the hope is that risk appetite will provide the catalyst for people to spend, particularly corporates," Sean Darby, Asia strategist with Nomura in Hong Kong, said in a note.
ANALYSTS VIEW-Commodities seen rising after Fed
NEW YORK, Nov 2 (Reuters) -Commodity and forex markets expectations range from $250 billion to $2 trillion of bond purchases by the Fed in a second round of quantitative easing. Traders are bracing for a quick rise in the dollar -- and commensurate fall in commodities -- if the Fed takes a less aggressive approach.
The dollar has lost about 7 percent against a basket of currencies over the past two months on speculation that the Fed will commence so-called QE2, as signaled by Chairman Ben Bernanke on Aug 27.
PRECIOUS-Gold slips, investors stay away before Fed outcome
SINGAPORE, Nov 3 (Reuters) - Gold inched down on Wednesday despite a weaker dollar as investors stayed on the sidelines before an expected U.S. Federal Reserve decision to pump hundreds of billions of dollars into the sluggish economy.
The outcome of the Fed meeting would be bullish for assets such as gold if the central bank commits to buying at least $500 billion in Treasuries over five months, as per expectations, but dealers are not ruling out surprises.
FOREX-Dollar steadier as Fed decision looms
SYDNEY, Nov 3 (Reuters) - The euro struggled on Wednesday to push higher above $1.4000 against the U.S. dollar, which remained on the backfoot as the Federal Reserve looked set to provide more stimulus to spur a flagging recovery.
Traders said the market was unwilling to make new bets ahead of
US soybeans, corn firm ahead of Fed meeting outcome
SYDNEY, Nov 3 (Reuters) - U.S. soybeans and grain futures posted modest gains as the dollar held steady ahead of the outcome of the U.S. Federal Reserve's policy meeting later in the day.
"Longer term, the market is looking at competition for acres in the United States between corn and soybeans," said Brett Cooper, senior manager markets at FCStone Australia.
Stocks hit 2-yr highs, dlr pressured before Fed
LONDON, Nov 3 (Reuters) - World stocks hit a two-year high while emerging equities rose to their highest level since mid-2008 as investors anticipated more U.S. monetary easing would support the global economy.
"If they deliver a policy, which at the very least is in line with the consensus and potentially offers some hope of a greater eventual number being reached, then you have got your short term catalyst for this market to go up," said Ian Richards, European equity strategist at RBS.
SINGAPORE, Nov 4 (Reuters) - Oil rose for a fourth straight day on Thursday, trading near six-month highs, as the dollar weakened after the U.S. Federal Reserve met market expectations with a plan to buy government debt to boost the economy.
The U.S. central bank said it would buy around $75 billion in Treasury bonds per month through mid-2011, totaling around $600 billion.
COMMODITY MARKETS: Gold dives further after Fed; most markets unmoved
NEW YORK, Nov 3 (Reuters) - Gold fell sharply but most commodities barely budged on Wednesday after the U.S. Federal Reserve decided, as expected, to buy billions of dollars in government debt to boost the economy, prompting investors to return their focus to economics and fundamentals.
"The Fed statement today basically removes a large overhang from the markets and the question is what we'll trade off from here," said Adam Sarhan at New York's Sarhan Capital. "To me, the demand equation for most commodities remains strong and supply remains challenging. That'll be the focus going forth."
GLOBAL MARKETS: Dollar steady, Asia stocks climb after Fed
HONG KONG, Nov 4 (Reuters) - Japanese stocks rallied 2 percent on Thursday after the Federal Reserve's new bond buying programme was close enough to expectations to keep investors selling yen and searching for higher-yielding assets.
"By undertaking more Treasury bond purchases, the hope is that risk appetite will provide the catalyst for people to spend, particularly corporates," Sean Darby, Asia strategist with Nomura in Hong Kong, said in a note.
ANALYSTS VIEW-Commodities seen rising after Fed
NEW YORK, Nov 2 (Reuters) -Commodity and forex markets expectations range from $250 billion to $2 trillion of bond purchases by the Fed in a second round of quantitative easing. Traders are bracing for a quick rise in the dollar -- and commensurate fall in commodities -- if the Fed takes a less aggressive approach.
The dollar has lost about 7 percent against a basket of currencies over the past two months on speculation that the Fed will commence so-called QE2, as signaled by Chairman Ben Bernanke on Aug 27.
PRECIOUS-Gold slips, investors stay away before Fed outcome
SINGAPORE, Nov 3 (Reuters) - Gold inched down on Wednesday despite a weaker dollar as investors stayed on the sidelines before an expected U.S. Federal Reserve decision to pump hundreds of billions of dollars into the sluggish economy.
The outcome of the Fed meeting would be bullish for assets such as gold if the central bank commits to buying at least $500 billion in Treasuries over five months, as per expectations, but dealers are not ruling out surprises.
FOREX-Dollar steadier as Fed decision looms
SYDNEY, Nov 3 (Reuters) - The euro struggled on Wednesday to push higher above $1.4000 against the U.S. dollar, which remained on the backfoot as the Federal Reserve looked set to provide more stimulus to spur a flagging recovery.
Traders said the market was unwilling to make new bets ahead of
US soybeans, corn firm ahead of Fed meeting outcome
SYDNEY, Nov 3 (Reuters) - U.S. soybeans and grain futures posted modest gains as the dollar held steady ahead of the outcome of the U.S. Federal Reserve's policy meeting later in the day.
"Longer term, the market is looking at competition for acres in the United States between corn and soybeans," said Brett Cooper, senior manager markets at FCStone Australia.
Stocks hit 2-yr highs, dlr pressured before Fed
LONDON, Nov 3 (Reuters) - World stocks hit a two-year high while emerging equities rose to their highest level since mid-2008 as investors anticipated more U.S. monetary easing would support the global economy.
"If they deliver a policy, which at the very least is in line with the consensus and potentially offers some hope of a greater eventual number being reached, then you have got your short term catalyst for this market to go up," said Ian Richards, European equity strategist at RBS.
20101104 0927 Soy Oil & Palm Oil Related News.
Soy product futures rose in unison with soybeans. The market traded on both sides of unchanged levels, but strong underlying global demand for soybeans and products kept floor beneath prices until late outside market support attracted fresh buying down the stretch, analysts said. December soyoil settled 0.27 cent or 0.5% higher at 49.90 cents a pound. December soymeal ended $1.20 or 0.04% higher at $338.90 a short ton. (Source : CME)
Global Demand For Crops Forces King Corn Into US Land Fight (Source : CMe)
King corn faces a land fight with other crops as U.S. farmers plan to sow more acres next year to meet strong global demand. Analysts expect growers will have to plant significantly more corn to prevent world supplies from becoming precariously tight. Yet similar strength in global demand for soybeans, cotton and wheat is setting up a competition for those extra acres. Livestock producers and ethanol makers are willing to pay more for corn, with futures climbing to 26-month highs. That will drive farmers to plant more acres next spring, especially since the fall harvest is coming in below expectations. Yet corn isn't likely to be the default crop for farmers looking to expand their plantings to take advantage of higher prices. Growers are only now starting to plan for next year, yet some could be tempted to add acres of cotton, wheat and soybean as prices for those commodities surge as well.
Soybean futures have reached 14-month highs on record buying by China, while cotton prices climbed to their highest level since the post-Civil War period of Reconstruction. Wheat futures have also rallied this year. It's becoming "more and more difficult" to guarantee a large increase in corn plantings, said Marty Foreman, analyst at Doane Advisory Services, an agricultural advisory firm in St. Louis. Analysts say farmers must increase corn plantings by 3 million to 6 million acres, or 3.5% to 7% over this year's level, to meet demand in 2011. The U.S. is the world's largest producer of corn, relied on to keep global markets adequately supplied. The number of acres that farmers plant rises and falls from year to year as they weigh futures prices against expected costs for seed, fertilizer and labor. Growers planted about 319 million acres with the country's principal 15 crops in 2010, compared to 325 million when corn and soybean futures reached record highs two years earlier.
A combined increase of 9 million acres in corn, soybean and wheat is needed in 2011 to keep supplies from running short, said Rich Feltes, vice president of research for commodity brokerage firm RJ O'Brien. Some acres can be counted twice if farmers plant wheat in the fall and then sow soybeans after the wheat is harvested in early summer. Farmers in the fertile Midwest often stick to a rotation of corn and soybeans, with little variation from year to year. Fringe crop areas, such as those in the Mississippi Delta, are expected to be the main battleground for acreage. Texas is likely to be an important swing state since corn, soybeans and cotton are grown there. States in the northern Plains, like North Dakota, will likely plant more corn at the expense of soybeans and possibly spring wheat.
Palm oil barely moves, investors eye Fed decision
KUALA LUMPUR, Nov 3 (Reuters) - Palm oil futures made little headway as some traders felt supply concerns were overdone even as strong monsoons hit certain estates in Malaysia.
"We are looking for more cues on the impact of the monsoon weather on palm oil production," said a trader with a foreign commodities brokerage.
China to stockpile new domestic soy from Nov-April
BEIJING, Nov 3 (Reuters) - Chines government will continue to stockpile the new soy harvest in the four major growing provinces in the northeast from November to April 2011 as part of efforts to help boost farmers' income, said the State Grain Administration on Wednesday.
The purchase price was set at 3,800 yuan ($569.7) per tonne, confirming earlier Reuters report, the body said.
ADM says late Brazil soy crop to boost US exports
CHICAGO, Nov 2 (Reuters) - Late soybean seeding in Brazil due to adverse planting weather will delay the harvest in the key soybean exporting country and bolster U.S. exports of the oilseed, the vice chairman of U.S. agricultural processor Archer Daniels Midland said on Tuesday.
"We're seeing very strong export interest business out of the United States starting with the last month and we expect that to keep going forward," said John Rice, ADM's vice chairman and executive vice president of commercial and production.
ADM to build second biodiesel plant in Brazil
CHICAGO, Nov 2 (Reuters) - U.S. agricultural processor Archer Daniels Midland will begin construction of its second Brazilian biodiesel plant in 2011 and the facility should be completed in 2012, CEO Patricia Woertz said on Tuesday.
The facility will be built adjacent to ADM's soybean crush plant and oil refinery in Joacaba, Santa Catarina, and will have an annual capacity of 164,000 tonnes, Woertz said.
Global Demand For Crops Forces King Corn Into US Land Fight (Source : CMe)
King corn faces a land fight with other crops as U.S. farmers plan to sow more acres next year to meet strong global demand. Analysts expect growers will have to plant significantly more corn to prevent world supplies from becoming precariously tight. Yet similar strength in global demand for soybeans, cotton and wheat is setting up a competition for those extra acres. Livestock producers and ethanol makers are willing to pay more for corn, with futures climbing to 26-month highs. That will drive farmers to plant more acres next spring, especially since the fall harvest is coming in below expectations. Yet corn isn't likely to be the default crop for farmers looking to expand their plantings to take advantage of higher prices. Growers are only now starting to plan for next year, yet some could be tempted to add acres of cotton, wheat and soybean as prices for those commodities surge as well.
Soybean futures have reached 14-month highs on record buying by China, while cotton prices climbed to their highest level since the post-Civil War period of Reconstruction. Wheat futures have also rallied this year. It's becoming "more and more difficult" to guarantee a large increase in corn plantings, said Marty Foreman, analyst at Doane Advisory Services, an agricultural advisory firm in St. Louis. Analysts say farmers must increase corn plantings by 3 million to 6 million acres, or 3.5% to 7% over this year's level, to meet demand in 2011. The U.S. is the world's largest producer of corn, relied on to keep global markets adequately supplied. The number of acres that farmers plant rises and falls from year to year as they weigh futures prices against expected costs for seed, fertilizer and labor. Growers planted about 319 million acres with the country's principal 15 crops in 2010, compared to 325 million when corn and soybean futures reached record highs two years earlier.
A combined increase of 9 million acres in corn, soybean and wheat is needed in 2011 to keep supplies from running short, said Rich Feltes, vice president of research for commodity brokerage firm RJ O'Brien. Some acres can be counted twice if farmers plant wheat in the fall and then sow soybeans after the wheat is harvested in early summer. Farmers in the fertile Midwest often stick to a rotation of corn and soybeans, with little variation from year to year. Fringe crop areas, such as those in the Mississippi Delta, are expected to be the main battleground for acreage. Texas is likely to be an important swing state since corn, soybeans and cotton are grown there. States in the northern Plains, like North Dakota, will likely plant more corn at the expense of soybeans and possibly spring wheat.
Palm oil barely moves, investors eye Fed decision
KUALA LUMPUR, Nov 3 (Reuters) - Palm oil futures made little headway as some traders felt supply concerns were overdone even as strong monsoons hit certain estates in Malaysia.
"We are looking for more cues on the impact of the monsoon weather on palm oil production," said a trader with a foreign commodities brokerage.
China to stockpile new domestic soy from Nov-April
BEIJING, Nov 3 (Reuters) - Chines government will continue to stockpile the new soy harvest in the four major growing provinces in the northeast from November to April 2011 as part of efforts to help boost farmers' income, said the State Grain Administration on Wednesday.
The purchase price was set at 3,800 yuan ($569.7) per tonne, confirming earlier Reuters report, the body said.
ADM says late Brazil soy crop to boost US exports
CHICAGO, Nov 2 (Reuters) - Late soybean seeding in Brazil due to adverse planting weather will delay the harvest in the key soybean exporting country and bolster U.S. exports of the oilseed, the vice chairman of U.S. agricultural processor Archer Daniels Midland said on Tuesday.
"We're seeing very strong export interest business out of the United States starting with the last month and we expect that to keep going forward," said John Rice, ADM's vice chairman and executive vice president of commercial and production.
ADM to build second biodiesel plant in Brazil
CHICAGO, Nov 2 (Reuters) - U.S. agricultural processor Archer Daniels Midland will begin construction of its second Brazilian biodiesel plant in 2011 and the facility should be completed in 2012, CEO Patricia Woertz said on Tuesday.
The facility will be built adjacent to ADM's soybean crush plant and oil refinery in Joacaba, Santa Catarina, and will have an annual capacity of 164,000 tonnes, Woertz said.
Wednesday, November 3, 2010
20101103 1828 FCPO EOD Daily Chart Study.
Bollinger band reading : correction range bound upside biased.
MACD Histrogram : weakening, buyer realising profit.
Support : 3070, 3050, 3020 level.
Resistant : 3100, 3150, 3200 level.
Comment :
Directionless FCPO traded within a small 23 points range bound market recorded small declined as market awaits US Federal Reserve policy decision announcement that will affect US Dollar movement plus market seems over concerns on Malaysia weather issue that has yet to hit major palm oil plantation states. Daily chart formed the 4th doji bar candle traded range bound in consolidation phase as market is likely to be quiet tomorrow doing correction range bound upside biased ahead of this weekend 5th China International Oils and Oilseeds Conference at Guang Zhou.
When to buy : buy at support and weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.
20101103 1745 FKLI EOD Daily Chart Study.
Bollinger band reading : correction range bound upside biased.
MACD Histrogram : reverse lower, buyer in control.
Support : 1500, 1485, 1470 level.
Resistant : 1530, 1550, 1580 level.
Comment :
Quiet volume transaction FKLI edge up slightly recorded marginal gain after market traded range bound tested previous high and retreat within a 6 points range market. Trading participation is relatively low probably due to traders choose to stay sideline awaits tomorrow Batu Sapi & Galas by-elections result plus a longer holiday weekend. Daily chart formed a graveyard doji bar candle with tested upper Bollinger band resistant level with the reading call for a correction range bound upside biased market development.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.
20101103 1510 Breaking News. UEM Land & Sunrise.
KUALA LUMPUR (Dow Jones)-
20101103 1052 Local & Global Economics News.
Malaysia: Malaysia-EU FTA set to be concluded by 2012
The Malaysia-European Free Trade Agreement (FTA) is set to be concluded by 2012, said EU Ambassador and head of delegation to Malaysia, Vincent Piket. He said the first round of the FTA meeting was scheduled for 6-9 Dec in Brussels, Belgium, while at the same time the Partnership and Cooperation Agreement (PCA) talks will be held at Putrajaya. (StarBiz)
India: Central bank raises rates for sixth time this year
India’s central bank raised interest rates for a sixth time this year in Asia’s fastest round of increases to cool inflation and said further monetary policy tightening in the “immediate future is relatively low.” The Reserve Bank of India boosted the repurchase rate by a quarter-point to 6.25% and the reverse repurchase rate by a similar margin to 5.25% with immediate effect, according to a statement in Mumbai. Fifteen of 23 economists had predicted the decision in a Bloomberg News survey. (Bloomberg)
China: Third-quarter yuan settlement almost triples
Trade settlement in the Chinese yuan in the third quarter almost tripled from the previous period as overseas demand for conducting transactions in the currency surged. Total trade settled using the Chinese currency was RMB126.5bn (USD18.9bn) in the July-to-September period, the People’s Bank of China said in a statement. That compares with RMB48.7bn in the previous three months, according to Bloomberg data. (Bloomberg)
Australia: Raises interest rate to 4.75%, ending 5-month pause
The Reserve Bank of Australia unexpectedly increased its benchmark interest rate on concern stronger growth will cause inflation to accelerate, driving the nation’s currency to parity with the US dollar. Governor Glenn Stevens raised the overnight cash rate target a quarter point to 4.75% in Sydney, saying the economy has “relatively modest amounts of spare capacity” and citing risk of “inflation rising again over the medium term.” (Bloomberg)
EU: Output growth quickens more than estimated
Europe’s manufacturing industries expanded at a faster pace in October than initially estimated as export demand strengthened. A gauge of manufacturing in the 16-nation euro region rose to 54.6 from 53.7 in the previous month, London-based Markit Economics said. It had previously reported an increase to 54.1 in October. A reading above 50 indicates expansion. (Bloomberg)
US: Manufacturing expands to five-month high
Manufacturing in the United States expanded in October at the fastest pace in five months as measures of production and orders placed with factories increased. The Institute for Supply Management’s (ISM) factory index increased to 56.9 from 54.4, the group said. (StarBiz)
US: Homeownership at decade low as foreclosures rise
The US homeownership rate was unchanged at a 10-year low in the third quarter as banks stepped up property seizures from borrowers who defaulted on mortgages. The homeownership rate was 66.9%, matching the second-quarter level that was the lowest since 1999, the US Census Bureau said. The homeowner vacancy rate, or the share of properties vacant and for sale, was unchanged at 2.5%, according to the report. (Bloomberg)
The Malaysia-European Free Trade Agreement (FTA) is set to be concluded by 2012, said EU Ambassador and head of delegation to Malaysia, Vincent Piket. He said the first round of the FTA meeting was scheduled for 6-9 Dec in Brussels, Belgium, while at the same time the Partnership and Cooperation Agreement (PCA) talks will be held at Putrajaya. (StarBiz)
India: Central bank raises rates for sixth time this year
India’s central bank raised interest rates for a sixth time this year in Asia’s fastest round of increases to cool inflation and said further monetary policy tightening in the “immediate future is relatively low.” The Reserve Bank of India boosted the repurchase rate by a quarter-point to 6.25% and the reverse repurchase rate by a similar margin to 5.25% with immediate effect, according to a statement in Mumbai. Fifteen of 23 economists had predicted the decision in a Bloomberg News survey. (Bloomberg)
China: Third-quarter yuan settlement almost triples
Trade settlement in the Chinese yuan in the third quarter almost tripled from the previous period as overseas demand for conducting transactions in the currency surged. Total trade settled using the Chinese currency was RMB126.5bn (USD18.9bn) in the July-to-September period, the People’s Bank of China said in a statement. That compares with RMB48.7bn in the previous three months, according to Bloomberg data. (Bloomberg)
Australia: Raises interest rate to 4.75%, ending 5-month pause
The Reserve Bank of Australia unexpectedly increased its benchmark interest rate on concern stronger growth will cause inflation to accelerate, driving the nation’s currency to parity with the US dollar. Governor Glenn Stevens raised the overnight cash rate target a quarter point to 4.75% in Sydney, saying the economy has “relatively modest amounts of spare capacity” and citing risk of “inflation rising again over the medium term.” (Bloomberg)
EU: Output growth quickens more than estimated
Europe’s manufacturing industries expanded at a faster pace in October than initially estimated as export demand strengthened. A gauge of manufacturing in the 16-nation euro region rose to 54.6 from 53.7 in the previous month, London-based Markit Economics said. It had previously reported an increase to 54.1 in October. A reading above 50 indicates expansion. (Bloomberg)
US: Manufacturing expands to five-month high
Manufacturing in the United States expanded in October at the fastest pace in five months as measures of production and orders placed with factories increased. The Institute for Supply Management’s (ISM) factory index increased to 56.9 from 54.4, the group said. (StarBiz)
US: Homeownership at decade low as foreclosures rise
The US homeownership rate was unchanged at a 10-year low in the third quarter as banks stepped up property seizures from borrowers who defaulted on mortgages. The homeownership rate was 66.9%, matching the second-quarter level that was the lowest since 1999, the US Census Bureau said. The homeowner vacancy rate, or the share of properties vacant and for sale, was unchanged at 2.5%, according to the report. (Bloomberg)
20101103 1051 Malaysia Corporate News.
Boustead to raise RM1bn
Boustead Holdings plans to raise up to RM1bn from borrowings to fund its purchase of Pharmaniaga, buy more land in the Klang Valley, and refinance existing debt. The group, controlled by Lembaga Tabung Angkatan Tentera, is selling seven-year medium-term notes that carry an indicative long-term rating of AAA, the highest for credit quality, from Malaysian Rating Corp. Boustead hopes to seal the land deal by the end of this year. Although Lodin did not reveal the location of the land, speculation is that it may be on the verge of buying a piece of prime land on Jalan Cochrane, Kuala Lumpur. The group is bullish on the property market. (BT)
Proton to price first hybrid below RM100,000
Proton Holdings is looking to offer its first hybrid car at a competitive price of below RM100,000, adviser Tun Dr Mahathir Mohamad said yesterday. The national carmaker is said to be developing hybrid as well as electric engines with British company Frazer-Nash Research, South Korea's LG and Proton subsidiary Lotus. Dr Mahathir said the development of hybrid cars, expected to be commercially launched next year, was part of Proton's initiative to move into green technology. (Bernama)
Mulpha rises on news Down Under
Mulpha International’s associate company FKP Property Group is touted as a possible takeover target once again. And this time, the acquiree could be Stockland, a substantial holder of FKP. Down Under, speculation is rife that Stockland, a leading Australian property developer, may seek to acquire FKP after the former sold out of rival GPT Group recently. The divestment would enable Stockland to have capital to scout for acquisition opportunities that fit well its existing business. (Financial Daily)
Uzma subsidiary bags another O&G contract
Uzma’s subsidiary has secured a RM15m contract from an oil and gas company for addition and extension of the Low Pressure System. The contract would include the supply of equipment, manpower and consultancy. The contract extension is for two existing LPS units and to supply an additional new LPS unit. The period for the LPS units under the contract was increased from three to five months, effective from November 2010 to March 2011. (Financial Daily)
Tenaga agrees to purchase electricity from KUB-Berjaya
Tenaga Nasional has agreed to purchase electricity from KUB-Berjaya Energy for a period of 21 years at an estimated cost of RM1.84m annually. Both parties yesterday signed a renewable energy power purchase agreement whereby TNB would purchase the electricity generated by a small renewable energy power project developed by KUB-Berjaya Energy, under the very small renewable energy power programme. The programme was launched by the Government in May 2001 to promote the utilisation of renewable energy in power generation and to reduce emission of greenhouse gases. (Bernama)
PCG may invest US$1bn in facility
Petronas Chemicals Group (PCG) may invest up to US$1bn in a greenfield ammonia and urea production facility in Sabah to enhance its profile as a key ammonia and urea producer in South-East Asia, said its top executive. PCG chairman Datuk Wan Zulkiflee Wan Ariffin said the project was currently at a pre-feasibility study phase and PCG would make a final investment decision in financial year 2012. (StarBiz)
Boustead Holdings plans to raise up to RM1bn from borrowings to fund its purchase of Pharmaniaga, buy more land in the Klang Valley, and refinance existing debt. The group, controlled by Lembaga Tabung Angkatan Tentera, is selling seven-year medium-term notes that carry an indicative long-term rating of AAA, the highest for credit quality, from Malaysian Rating Corp. Boustead hopes to seal the land deal by the end of this year. Although Lodin did not reveal the location of the land, speculation is that it may be on the verge of buying a piece of prime land on Jalan Cochrane, Kuala Lumpur. The group is bullish on the property market. (BT)
Proton to price first hybrid below RM100,000
Proton Holdings is looking to offer its first hybrid car at a competitive price of below RM100,000, adviser Tun Dr Mahathir Mohamad said yesterday. The national carmaker is said to be developing hybrid as well as electric engines with British company Frazer-Nash Research, South Korea's LG and Proton subsidiary Lotus. Dr Mahathir said the development of hybrid cars, expected to be commercially launched next year, was part of Proton's initiative to move into green technology. (Bernama)
Mulpha rises on news Down Under
Mulpha International’s associate company FKP Property Group is touted as a possible takeover target once again. And this time, the acquiree could be Stockland, a substantial holder of FKP. Down Under, speculation is rife that Stockland, a leading Australian property developer, may seek to acquire FKP after the former sold out of rival GPT Group recently. The divestment would enable Stockland to have capital to scout for acquisition opportunities that fit well its existing business. (Financial Daily)
Uzma subsidiary bags another O&G contract
Uzma’s subsidiary has secured a RM15m contract from an oil and gas company for addition and extension of the Low Pressure System. The contract would include the supply of equipment, manpower and consultancy. The contract extension is for two existing LPS units and to supply an additional new LPS unit. The period for the LPS units under the contract was increased from three to five months, effective from November 2010 to March 2011. (Financial Daily)
Tenaga agrees to purchase electricity from KUB-Berjaya
Tenaga Nasional has agreed to purchase electricity from KUB-Berjaya Energy for a period of 21 years at an estimated cost of RM1.84m annually. Both parties yesterday signed a renewable energy power purchase agreement whereby TNB would purchase the electricity generated by a small renewable energy power project developed by KUB-Berjaya Energy, under the very small renewable energy power programme. The programme was launched by the Government in May 2001 to promote the utilisation of renewable energy in power generation and to reduce emission of greenhouse gases. (Bernama)
PCG may invest US$1bn in facility
Petronas Chemicals Group (PCG) may invest up to US$1bn in a greenfield ammonia and urea production facility in Sabah to enhance its profile as a key ammonia and urea producer in South-East Asia, said its top executive. PCG chairman Datuk Wan Zulkiflee Wan Ariffin said the project was currently at a pre-feasibility study phase and PCG would make a final investment decision in financial year 2012. (StarBiz)
20101103 0855 Global Market News.
Nov. 3 (Bloomberg) -
OIL: Oil jumps to fresh 6-mth high; U.S. inventories tumble
SINGAPORE, Nov 3 (Reuters) - Oil rose to a six-month high above $84 for a second straight session after an industry report showed declines in U.S. inventories across fuel categories, a sign chronic oversupply is subsiding at the world's top user.
U.S. crude inventories fell by 4.1 million barrels in the week to Oct. 29, the American Petroleum Institute (API) reported on Tuesday. That compared with expectations for a 1.2 million barrel increase.
COMMODITY MARKETS: Dollar slide sparks rally as Fed outcome nears
NEW YORK, Nov 2 (Reuters) - Commodities rose on Tuesday, extending this week's runup with oil, copper and sugar rallying sharply and cotton hitting record peaks as the dollar fell on the eve of a Federal Reserve decision on U.S. monetary easing.
Crude oil rose to six-month highs, copper neared a two-year peak and sugar raced toward 30-year highs, sending the 19-commodity Reuters-Jefferies CRB index up more than 1 percent to levels not seen since October 2008.
GLOBAL MARKETS: Stocks and oil rally; dollar falls as Fed meets
NEW YORK, Nov 2 (Reuters) - World stocks neared a two-year high on Tuesday on stronger-than-expected economic data while the dollar fell as investors anticipated the U.S. central bank will open the money spigot to spur the flagging U.S. economy.
"I think it is people trying to get in front of what they think will be the election results," said Rick Meckler, president of investment firm LibertyView Capital Management in New York, in reference to expectations of Republicans' gains.
U.S. corn, wheat rise on dollar, crop concerns
SINGAPORE, Nov 2 (Reuters) - U.S. corn futures rose half a percent on Tuesday to trade near 26-month highs, while wheat ticked higher as a weaker dollar supported commodities but investors were cautious ahead of a Federal Reserve meeting and U.S. elections.
"The key drivers will be developments out of the United States which will be critical for setting direction for agriculture and risk assets more broadly," said Luke Mathews, commodity strategist at Commonwealth Bank of Australia.
Asian shares edge up, dlr steady before Fed
SINGAPORE, Nov 2 (Reuters) - Asian stocks edged up after an early fall while the dollar kept a tenuous grip on overnight gains in Asia on Tuesday ahead of U.S. elections and a Federal Reserve meeting that is expected to ease monetary policy.
"The market is of course cautious until it sees the outcome of the Fed meeting and the U.S. election, but Japanese stocks are being pressured more by selling from real money investors," said Hiroaki Kuramochi, chief equity marketing officer at Tokai Tokyo Securities.
PRECIOUS-Gold rises towards $1,360/oz ahead of Fed
LONDON, Nov 2 (Reuters) - Gold firmed in Europe on Tuesday, climbing back towards the previous session's near two-week high, as the dollar retreated ahead of a hotly anticipated policy meeting of the U.S. Federal Reserve starting later in the day.
At the two-day meet in Washington, the Fed will consider the prospect of further quantitative easing. Markets are pricing in a commitment to buy at least $500 billion in Treasury debt over the coming months to spur a flagging economy.
FOREX-Aussie hits highest since 1983 vs dollar post-RBA
LONDON, Nov 2 (Reuters) - The Australian dollar hit its highest against the dollar since 1983 on Tuesday after a surprise Australian interest rate hike, while the U.S. currency stayed weak on expectations of fresh monetary easing.
The Reserve Bank of Australia raised its cash rate by 25 basis points to 4.75 percent as a pre-emptive strike against inflation, sending the Aussie above parity to $1.0013, its highest since the currency was floated in 1983.
OIL: Oil jumps to fresh 6-mth high; U.S. inventories tumble
SINGAPORE, Nov 3 (Reuters) - Oil rose to a six-month high above $84 for a second straight session after an industry report showed declines in U.S. inventories across fuel categories, a sign chronic oversupply is subsiding at the world's top user.
U.S. crude inventories fell by 4.1 million barrels in the week to Oct. 29, the American Petroleum Institute (API) reported on Tuesday. That compared with expectations for a 1.2 million barrel increase.
COMMODITY MARKETS: Dollar slide sparks rally as Fed outcome nears
NEW YORK, Nov 2 (Reuters) - Commodities rose on Tuesday, extending this week's runup with oil, copper and sugar rallying sharply and cotton hitting record peaks as the dollar fell on the eve of a Federal Reserve decision on U.S. monetary easing.
Crude oil rose to six-month highs, copper neared a two-year peak and sugar raced toward 30-year highs, sending the 19-commodity Reuters-Jefferies CRB index up more than 1 percent to levels not seen since October 2008.
GLOBAL MARKETS: Stocks and oil rally; dollar falls as Fed meets
NEW YORK, Nov 2 (Reuters) - World stocks neared a two-year high on Tuesday on stronger-than-expected economic data while the dollar fell as investors anticipated the U.S. central bank will open the money spigot to spur the flagging U.S. economy.
"I think it is people trying to get in front of what they think will be the election results," said Rick Meckler, president of investment firm LibertyView Capital Management in New York, in reference to expectations of Republicans' gains.
U.S. corn, wheat rise on dollar, crop concerns
SINGAPORE, Nov 2 (Reuters) - U.S. corn futures rose half a percent on Tuesday to trade near 26-month highs, while wheat ticked higher as a weaker dollar supported commodities but investors were cautious ahead of a Federal Reserve meeting and U.S. elections.
"The key drivers will be developments out of the United States which will be critical for setting direction for agriculture and risk assets more broadly," said Luke Mathews, commodity strategist at Commonwealth Bank of Australia.
Asian shares edge up, dlr steady before Fed
SINGAPORE, Nov 2 (Reuters) - Asian stocks edged up after an early fall while the dollar kept a tenuous grip on overnight gains in Asia on Tuesday ahead of U.S. elections and a Federal Reserve meeting that is expected to ease monetary policy.
"The market is of course cautious until it sees the outcome of the Fed meeting and the U.S. election, but Japanese stocks are being pressured more by selling from real money investors," said Hiroaki Kuramochi, chief equity marketing officer at Tokai Tokyo Securities.
PRECIOUS-Gold rises towards $1,360/oz ahead of Fed
LONDON, Nov 2 (Reuters) - Gold firmed in Europe on Tuesday, climbing back towards the previous session's near two-week high, as the dollar retreated ahead of a hotly anticipated policy meeting of the U.S. Federal Reserve starting later in the day.
At the two-day meet in Washington, the Fed will consider the prospect of further quantitative easing. Markets are pricing in a commitment to buy at least $500 billion in Treasury debt over the coming months to spur a flagging economy.
FOREX-Aussie hits highest since 1983 vs dollar post-RBA
LONDON, Nov 2 (Reuters) - The Australian dollar hit its highest against the dollar since 1983 on Tuesday after a surprise Australian interest rate hike, while the U.S. currency stayed weak on expectations of fresh monetary easing.
The Reserve Bank of Australia raised its cash rate by 25 basis points to 4.75 percent as a pre-emptive strike against inflation, sending the Aussie above parity to $1.0013, its highest since the currency was floated in 1983.
20101103 0851 Soy Oil & Palm Oil Related News.
Soy product futures inched lower in choppy trade, as prices consolidated in unison with price action in soybeans. The absence of fresh demand news allowed futures to retreat from initial gains in step with beans. December soyoil settled 0.12 cents or 0.2% lower at 49.63 cents a pound. December soymeal ended $0.10 or 0.03% lower at $337.70 a short ton. (Source: CME)
FAO Food Index Hits 27-Month High On Cereals, Soybeans (Source: CME)
The United Nations Food and Agriculture Organization Tuesday revised up its monthly food price index to a 27-month high due to increases in global cereals, sugar and soybean prices. The index now stands at 197.13, up 4.4% from September and the highest since July 2008. Dry weather in the U.S., lower-than-expected corn yields, China's voracious demand for soybeans and tight sugar inventories have helped to push up prices of agricultural commodities across the board, and they are unlikely to ease this month. The FAO index is a monthly measure of changes in international prices of a basket of commodities and is closely tracked by analysts and investors as a global benchmark for food price trends.
The FAO food price index is inching towards the record high of 213.5, reached in June 2008. Adverse weather, either too dry or too wet, has affected major producers and exporters around the world, from Russia and Ukraine to Canada and the U.S., Germany, Australia, Pakistan and Southeast Asia. The Cereals Price Index rose to a 25-month high of 219, up 5.1% from August, and the Sugar Price Index was up 8.4% to a record 344.6. The Oils and Fats prices index rose 10% to 217.5. The chances of the Food Price Index declining in November aren't very good due to concerns over the dry weather in the U.S. and planting patterns in Russia, said Abdolreza Abbassian, secretary of the FAO's Intergovernmental Group for Grains.
Private forecasters are indicating that U.S. corn production estimate for 2010-11 may be revised lower again as actual yields could be below current projections, he said. In October, the U.S. Department of Agriculture revised the country's corn output estimates down sharply to 321.7 million tons from 334 million tons. The next monthly report is due next week. The U.S. is the world's largest exporter of corn. Another cause of worry is that the farmers in Russia may switch over to planting oilseeds due to government restrictions on exports of grains, Abbassian said. There is strong domestic demand for wheat, but if a switch towards planting oilseeds happens, global wheat prices could go up further, he said.
Palm oil above 3,100 rgt on weather, crude oil
KUALA LUMPUR, Nov 2 (Reuters) - Malaysian palm oil futures hit a new 27-month high on Tuesday and breached a key 3,100 ringgit level on concerns a strong monsoon season will hit yields and on support from higher crude oil.
"Palm oil is continuing its upward trend on market talk that the monsoon season for October to December may be worse than expected because of La Nina," said a trader with a foreign commodities brokerage.
China MofCom ups Oct soy imports to 4.5 mln T
BEIJING, Nov 2 (Reuters) - - China's commerce ministry has revised upwards its estimate for October soy imports to 4.5 million tonnes, from earlier estimate of 4.15 million tonnes.
The ministry said on Tuesday it expects the world's largest soy importer to bring in 4.6 million tonnes of the oilseed in November.
FC Stone lowers estimates of U.S. corn, soy crops
CHICAGO, Nov 1 (Reuters) - Commodity brokerage firm FC Stone said on Monday it cut its estimate of the U.S. 2010 corn crop to 12.523 billion bushels, with an average yield of 154.1 bushels per acre.
The figures were down from Stone's October corn production estimate of 12.891 billion, with a yield of 159.2 bpa.
Brazil planted soy area jumps to 29 pct - Celeres
SAO PAULO, Nov 1 (Reuters) - Planting of Brazil's 2010/11 (Sept/Aug) soybean crop climbed to 29 percent of the expected area by Oct. 29, down from the 35 percent planted a year ago but ahead of historical planting rates for this time of year, grain analysts Celeres said on Monday.
Growers in the world's No.2 soybean producer after the United States have struggled with late rains in the early planting center-west. Overall, the country managed to make a 12 percentage point jump from the 17 percent planted the prior week.
Malaysia's Kulim 2010 profit to grow on palm
KUALA LUMPUR, Nov 2 (Reuters) - Malaysian planter Kulim expects profits for FY 2010 to be "much higher" than last year's 146 million ringgit ($47.17 million), driven by its expansion into Papua New Guinea (PNG) and a rally in palm oil prices.
Profits ending Dec. 31 would also benefit from the sale of an oleochemical plant to Singapore's Wilmar for $140 million, Kulim's Chief Operating Officer Zulkifli Ibrahim told Reuters in an interview on Tuesday.
FAO Food Index Hits 27-Month High On Cereals, Soybeans (Source: CME)
The United Nations Food and Agriculture Organization Tuesday revised up its monthly food price index to a 27-month high due to increases in global cereals, sugar and soybean prices. The index now stands at 197.13, up 4.4% from September and the highest since July 2008. Dry weather in the U.S., lower-than-expected corn yields, China's voracious demand for soybeans and tight sugar inventories have helped to push up prices of agricultural commodities across the board, and they are unlikely to ease this month. The FAO index is a monthly measure of changes in international prices of a basket of commodities and is closely tracked by analysts and investors as a global benchmark for food price trends.
The FAO food price index is inching towards the record high of 213.5, reached in June 2008. Adverse weather, either too dry or too wet, has affected major producers and exporters around the world, from Russia and Ukraine to Canada and the U.S., Germany, Australia, Pakistan and Southeast Asia. The Cereals Price Index rose to a 25-month high of 219, up 5.1% from August, and the Sugar Price Index was up 8.4% to a record 344.6. The Oils and Fats prices index rose 10% to 217.5. The chances of the Food Price Index declining in November aren't very good due to concerns over the dry weather in the U.S. and planting patterns in Russia, said Abdolreza Abbassian, secretary of the FAO's Intergovernmental Group for Grains.
Private forecasters are indicating that U.S. corn production estimate for 2010-11 may be revised lower again as actual yields could be below current projections, he said. In October, the U.S. Department of Agriculture revised the country's corn output estimates down sharply to 321.7 million tons from 334 million tons. The next monthly report is due next week. The U.S. is the world's largest exporter of corn. Another cause of worry is that the farmers in Russia may switch over to planting oilseeds due to government restrictions on exports of grains, Abbassian said. There is strong domestic demand for wheat, but if a switch towards planting oilseeds happens, global wheat prices could go up further, he said.
Palm oil above 3,100 rgt on weather, crude oil
KUALA LUMPUR, Nov 2 (Reuters) - Malaysian palm oil futures hit a new 27-month high on Tuesday and breached a key 3,100 ringgit level on concerns a strong monsoon season will hit yields and on support from higher crude oil.
"Palm oil is continuing its upward trend on market talk that the monsoon season for October to December may be worse than expected because of La Nina," said a trader with a foreign commodities brokerage.
China MofCom ups Oct soy imports to 4.5 mln T
BEIJING, Nov 2 (Reuters) - - China's commerce ministry has revised upwards its estimate for October soy imports to 4.5 million tonnes, from earlier estimate of 4.15 million tonnes.
The ministry said on Tuesday it expects the world's largest soy importer to bring in 4.6 million tonnes of the oilseed in November.
FC Stone lowers estimates of U.S. corn, soy crops
CHICAGO, Nov 1 (Reuters) - Commodity brokerage firm FC Stone said on Monday it cut its estimate of the U.S. 2010 corn crop to 12.523 billion bushels, with an average yield of 154.1 bushels per acre.
The figures were down from Stone's October corn production estimate of 12.891 billion, with a yield of 159.2 bpa.
Brazil planted soy area jumps to 29 pct - Celeres
SAO PAULO, Nov 1 (Reuters) - Planting of Brazil's 2010/11 (Sept/Aug) soybean crop climbed to 29 percent of the expected area by Oct. 29, down from the 35 percent planted a year ago but ahead of historical planting rates for this time of year, grain analysts Celeres said on Monday.
Growers in the world's No.2 soybean producer after the United States have struggled with late rains in the early planting center-west. Overall, the country managed to make a 12 percentage point jump from the 17 percent planted the prior week.
Malaysia's Kulim 2010 profit to grow on palm
KUALA LUMPUR, Nov 2 (Reuters) - Malaysian planter Kulim expects profits for FY 2010 to be "much higher" than last year's 146 million ringgit ($47.17 million), driven by its expansion into Papua New Guinea (PNG) and a rally in palm oil prices.
Profits ending Dec. 31 would also benefit from the sale of an oleochemical plant to Singapore's Wilmar for $140 million, Kulim's Chief Operating Officer Zulkifli Ibrahim told Reuters in an interview on Tuesday.
Monday, November 1, 2010
20101101 1851 FCPO EOD Daily Chart Study.
Bollinger band reading : correction range bound upside biased.
MACD Histrogram : weakening, buyer taking profit.
Support : 3070, 3050, 3020 level.
Resistant : 3100, 3150, 3200 level.
Comment :
Hit new high FCPO traded firmer recorded gain with slightly better volume changed hand despite a disappointing slower Oct 2010 export data released today as soy oil futures price continue to trade firmer after US Dollar getting weaker. Daily chart formed a doji bar candle closed near the high of the day just few points away form the 3100 resistant level with the reading suggesting a correction range bound upside biased market development for the near term.
When to buy : buy at support and weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.
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