Karl's Feed
Mar 29, 2012

China buys US corn, total near 4 mln T this season

March 29 (Reuters) – China bought 120,000 tonnes of U.S.
corn for shipment by the end of August, the largest in a month,
the U.S. government said on Thursday, bringing the country’s
total confirmed purchases of the grain this season to nearly 4
million tonnes.

More old-crop sales to the world’s No. 2 corn consumer were
expected so the latest U.S. Department of Agriculture forecast
for imports by China was likely too low, suggesting U.S. stocks
of the grain, already seen shrinking to a 16-year low by the
next harvest, could tighten further.

Mar 23, 2012

Soy jumps on South American crop woes, acreage battle

CHICAGO (Reuters) – Soybean futures rebounded on Friday as worries about drought-reduced crops in South America and that early corn seeding in the Midwest may divert planted acres from soybeans lifted prices more than 1 percent.

Corn followed soybeans higher, adding 0.6 percent in a short-covering bounce, although gains were capped by expectations for the most planted acres this year since 1944.

Mar 21, 2012

Ohio sues Cargill, Morton Salt for inflated rock salt prices

By Karl Plume

(Reuters) – Ohio filed an antitrust lawsuit against agribusiness Cargill Inc and Morton Salt Inc on Wednesday, accusing the companies of driving up the cost of road de-icing rock salt during the past decade.

The complaint, filed by the attorney general in Tuscarawas County Common Pleas Court, alleges Cargill and Morton, the state’s only two rock salt miners, conspired to reduce bidding competition and thus artificially drove up prices paid by public entities.

Mar 20, 2012

ADM says did not submit final bid for Viterra

By Karl Plume

(Reuters) – U.S. agribusiness Archer Daniels Midland (ADM.N: Quote, Profile, Research, Stock Buzz) did not submit a final bid for Canadian grain company Viterra (VT.TO: Quote, Profile, Research, Stock Buzz) after deeming the cost of an acquisition “would not meet our return objectives,” ADM CEO Patricia Woertz said on Tuesday.

Commodities trader Glencore (GLEN.L: Quote, Profile, Research, Stock Buzz) agreed to buy Viterra on Tuesday in a cash deal valuing the company at C$6.1 billion ($6.2 billion).

Mar 15, 2012

Iran buys US wheat again, trade set to grow

March 15 (Reuters) – Iran has purchased 60,000 tonnes
of U.S. wheat, the U.S. government said on Thursday,
raising the two-week tally to 180,000 tonnes, which industry
sources said reopened grain trade ties between the two countries
embroiled in a stand-off over Tehran’s nuclear ambitions.

Iran’s purchases of U.S. wheat this year are its first in
three years, and the sources said the OPEC member was close to
completing purchases of another 220,000 tonnes to be shipped as
early as April, and in talks with exporters to buy another
undisclosed amount.

Mar 14, 2012

Soy hits 5-1/2 month high; corn, wheat retreat

CHICAGO, March 14 (Reuters) – U.S. soybean futures
climbed for a second consecutive session on Wednesday and hit a
5-1/2 month high as a drought-reduced South American crop and
port congestion was expected to bolster demand for thinning U.S.
supplies this summer.

Fund buying and chart-based buying above recent highs added
support at times, along with supportive U.S. soybean crushing
data released on Wednesday.

Nov 4, 2011

MF Global rivals race to “margin up” new clients

By Karl Plume and Marcy Nicholson

(Reuters) – Commodity brokers rushed on Friday to finish transferring thousands of customers from bankrupt rival MF Global, shifting their attention to the delicate task of ensuring new clients’ margins are topped up by next week.

Following a court order on Wednesday, the MF Global trustee has worked with the CME Group and a handful of other mostly independent futures commission merchants (FCMs) to move the bankrupt broker’s 50,000 or so commodity accounts in bulk to new clearing firms, along with 60 percent of collateral.

Nov 4, 2011

MF Global rivals scramble to vet, margin new clients

CHICAGO/NEW YORK (Reuters) – Commodity brokers raced on Friday to bring on board thousands of customers of bankrupt rival MF Global, facing a tight deadline to see that trading positions and collateral frozen since Monday are margined or liquidated.

Following a court order on Wednesday, the MF Global trustee has worked with the CME Group and a handful of other mostly independent futures commission merchants (FCMs) to move the bankrupt broker’s 50,000 or so commodity accounts in bulk to new clearing firms, along with 60 percent of collateral.

Nov 3, 2011

MF Global clients face day of reckoning as margins call

NEW YORK/CHICAGO (Reuters) – Call it the mother of all margin calls: Up to 50,000 former customers of bankrupt broker MF Global must post some $1 billion in additional collateral to new brokers almost overnight, or be forced out of their trades.

Come Friday, with the mass transfer of commodity trading accounts from Jon Corzine’s fallen firm to six of its erstwhile rivals, margin clerks will be wrapping up a reckoning of how much additional money is needed to cover millions of positions. Clients who can’t quickly meet their margin will have to liquidate, making for a tumultuous day’s trade.

Nov 3, 2011

Insight: MF Global clients face day of reckoning as margins call

NEW YORK/CHICAGO (Reuters) – Call it the mother of all margin calls: Up to 50,000 former customers of bankrupt broker MF Global must find some $1 billion in additional collateral almost overnight, or be forced out of their trades.

Come Friday, with the mass transfer of commodity trading accounts from Jon Corzine’s fallen firm to six of its erstwhile rivals, margin clerks will be wrapping up a reckoning of how much additional money is needed to cover millions of positions. Clients who can’t quickly meet their margin will have to liquidate, making for a tumultuous day’s trade.