-Palm oil futures hammered overnight on return from holiday
-US winter wheat conditions mostly decline in latest month
-Brazil soybean harvest in line with average, behind year ago
-Early Brazilian 1st corn crop harvest historically fast
-USDA reports modest corn sale to Mexico
-South American forecast favorable
ï‚· Malaysian palm oil futures were hammered overnight, seeing the largest single-day plunge since October 2008 with a 10.0% decline in the benchmark April contract as trading resumed after the two day holiday and played catch up to the global commodity losses spurred by the coronavirus concerns. The massive price collapse overnight now leaves palm oil 18% of its highs on January 10 and at the lowest level since early November.
ï‚· Major winter wheat producing states issued their monthly crop condition updates yesterday afternoon, with the majority reflecting declining conditions over the last month which is quite typical during the winter months. KS declined to 34% good/excellent from 40% a month ago, but year ago comparisons are not available due to the government shutdown at the time. OK declined to 36% g/e from 40% last month, TX to 20% g/e from 23% in early Dec (previous report), and NE to 59% g/e from 70% last month. Overall SD conditions declined given a drop in excellent from 14% to 3%, as good rose to 73% from 59% last month. A few increases in conditions were noted with IL (SRW) seeing the portion rated excellent rising to 10% from 2% last month and good now at 37% vs 46% last month, while MT jumped to 71% g/e from 55% last month.
 Brazil’s soybean harvest is 4% complete, up from 2% last week and in line with average of 5%, but is and will continue to be well behind last year’s historically fast pace of 11%. Over the coming weeks, it will be more prudent to focus on the harvest progress as it relates to average rather than last year given the atypically early harvest a year ago. Brazil’s 1st corn crop harvest is advancing rather quickly, now 11% complete vs 5% last week and 5% average. The 2nd corn crop (safrinha) planting remains limited given the more typical soybean harvest progress this year with just 3% of the crop now in the ground vs 15% at this time last year, but the 5-year average is 8% including last year, while average excluding last year’s fast planting is 5%.
 South African corn planted area for the coming year’s crop is expected to be up 9% from last year to 2.5 million hectares (6.2 mil acres) from 2.3 mil hectares (5.7 mil acres) according to a wire service survey of industry participants ahead of South Africa’s Crop Estimates Committee first estimate of the year tomorrow.
ï‚· Syria tendered for 200k tonnes of Russian wheat with offers due by February 17. Syria failed to make a purchase in either of the previous two tenders on January 20 and December 18.
ï‚· USDA reported the sale of 124k tonnes of corn to Mexico for 2019/20 delivery this morning.
Weather Dry weather continued to dominate the majority of the Argentine growing regions yesterday, but cooler temps built in, with highs mainly in the 80s. A front will bring rains of .50-1†to most growing regions later today into tomorrow, with conditions quieting back down for the rest of this week. Mostly dry conditions are expected through the weekend and Monday of next week, with the next rain event seen for around Tuesday of next week. In Brazil, rains of .50-1.5†fell across most of Mato Grosso, Goias and Minas Gerais yesterday, with conditions mainly dry elsewhere. The forecast remains quite active/favorable as tropical, hit and miss, showers and thunderstorms will bring rains of .50-1.5†to most of Mato Grosso, Goias and Minas Gerais in the next 5 days. A front look to bring .50-1â€+ to most of RGDS, Santa Catarina and Parana Wednesday and Thursday and then into most of MGDS and Sao Paulo later Thursday into Friday. In the 6-10 day period, rains of 1-2â€+ are indicated to fall in Parana, MGDS and Sao Paulo, with totals of .50-1â€+ in all other growing regions.