The verse of the popular tune back in the 70's went something like Fridays and Mondays always get me down. Well down we went on Friday especially in the soybesn market as old crop beans were down 27 cents and new crop down 19 cents Corn was down 2-3 cents across the board and wheat losses were 6-7 cents. The U.S. dollar index was
considerably higher on the day along with the financials lower on the day. Basing the bearishness on the outside markets the grains really didn't have a chance today.Beans on the week lost 32-35 cents, corn lost 8-9 cents and Chicago May wheat lost 43 cents. It seems like the traders had started to turn their attention toward
Tuesday's USDA Planting Intentions and Quarterly Stocks reports. The early guesses are for a increase in bean acreage and a decrease for corn acres. The amount of change is all over the board.
Closes for the week
Corn May 3.87
DEc 4.1925
Beans May 9.17
Nov 8.6075
Wheat May 5.0725
July 5.20
Chuck Peterson
Friday, March 27, 2009
Thursday, March 26, 2009
March 26, 2009
Corn futures ended on a higher note today with strong support on exports sales, higher crude oil, and stocks finishing up higher. Export sales for the week showed corn at 46.9 million bushels and soybeans at 15.8 million bushels, both up sharply from the previous week. Traders continue to remain cautious about adding a large speculative position ahead of next weeks USDA Crop Planting intentions report. Traders already considering the possibility of a repeat of last year’s wet spring with delayed corn plantings. Corn trade will continue to balance the prospects of clearly burdensome old crop stocks with lower production potential next year and a sharp year to year stocks decline. Producer selling has waned considerably as the market has slide.
Soybean futures closed lower after choppy trading throughout the day. Talk of the Chinese government releasing 1 million tonnes of soybeans it had been holding in reserve into the domestic market weighed on prices today.
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~Chris Spurlock
Soybean futures closed lower after choppy trading throughout the day. Talk of the Chinese government releasing 1 million tonnes of soybeans it had been holding in reserve into the domestic market weighed on prices today.
We would like to invite you to our new Online-Offer system that allows you submit offers 24/7. You will first need to sign up on our website wwww.elburncoop.com to gain access. If you have any questions give your local merchandiser a call.
~Chris Spurlock
Wednesday, March 25, 2009
Wednesday March 25, 2009
Grains in Chicago closed lower today with May Corn down 8, May Soybeans down 16 and May Wheat down 27. General long liquidation in all commodity markets was the feature today.
Corn closed modestly lower following especially wheat down. A mixture of bearishness in the market place expecting new crop corn acres to grow in addition to the fear of growing stocks, potentially in the USDA March 31st report as this report will be a leading indication of feed demand and/or domestic usage (ethanol) possibly slipping further than expected.
Soybeans closed sharply lower as long liquidation was the feature. Risk is inherited on the long side going into a mix of reports coming over the next week. Feb. Crush will be reported tomorrow expectations of 134.5. New crop soybeans are the leader to the downside as an easing supply and demand picture is beginning to unfold for the new crop.
In closing, I do feel that some new crop pricing needs addressed for the risk to reward of selling here is likely better than the alternative. Even if that means just placing a floor under new crop levels using minimum price contracts or any combination there of. Especially as traders are fearing liquidation from Index funds as the close of 1st quarter draws near.
Up Coming News:
USDA Export Sales 7:30a cst
Corn 600-850 MMT
Soybeans 250-550 MMT
Jeff Neisler
Corn closed modestly lower following especially wheat down. A mixture of bearishness in the market place expecting new crop corn acres to grow in addition to the fear of growing stocks, potentially in the USDA March 31st report as this report will be a leading indication of feed demand and/or domestic usage (ethanol) possibly slipping further than expected.
Soybeans closed sharply lower as long liquidation was the feature. Risk is inherited on the long side going into a mix of reports coming over the next week. Feb. Crush will be reported tomorrow expectations of 134.5. New crop soybeans are the leader to the downside as an easing supply and demand picture is beginning to unfold for the new crop.
In closing, I do feel that some new crop pricing needs addressed for the risk to reward of selling here is likely better than the alternative. Even if that means just placing a floor under new crop levels using minimum price contracts or any combination there of. Especially as traders are fearing liquidation from Index funds as the close of 1st quarter draws near.
Up Coming News:
USDA Export Sales 7:30a cst
Corn 600-850 MMT
Soybeans 250-550 MMT
Jeff Neisler
Tuesday, March 24, 2009
Tuesday March 24, 2009
Grains in Chicago closed mixed today with May Corn closing down 1 3/4 and December Corn Closing down 2. May Soybeans closed up 11 1/2 while November closed up 1. Wheat being the exception closing down 14 1/4 as a significant rain event forecast for dry areas of the western wheat belt late in the week.
The trade in Chicago in narrowing its focus into next Tuesday's stocks and acreage report. At which time, we will immediately after the open began to trade weather and how that effects ending supply and demand. Momentum studies are beginning to wane except for in May Soybeans where although are stable we have beaten the Argentina strike to death and are now trading the anticipated reduction in quarterly stocks. I would suspect that long liquidation could be in order the balance of the week.
The $9 area basis November Futures is likely a good place to hedge off some new crop length and likely December Corn around 4.20-4.30 should be sold barring any major spring/summer weather threats. Cash corn offers are building in the 3.90-4.00 area and have provided the corn market resistance on the front end. Chinese soybean sales cancellations could be in order as soon as the Argentina strike is resolved. I believe caution is in order for financial markets as we have moved to aggressively over the past week.
Jeff Neisler
The trade in Chicago in narrowing its focus into next Tuesday's stocks and acreage report. At which time, we will immediately after the open began to trade weather and how that effects ending supply and demand. Momentum studies are beginning to wane except for in May Soybeans where although are stable we have beaten the Argentina strike to death and are now trading the anticipated reduction in quarterly stocks. I would suspect that long liquidation could be in order the balance of the week.
The $9 area basis November Futures is likely a good place to hedge off some new crop length and likely December Corn around 4.20-4.30 should be sold barring any major spring/summer weather threats. Cash corn offers are building in the 3.90-4.00 area and have provided the corn market resistance on the front end. Chinese soybean sales cancellations could be in order as soon as the Argentina strike is resolved. I believe caution is in order for financial markets as we have moved to aggressively over the past week.
Jeff Neisler
Monday, March 23, 2009
March 23, 2009
After posting strong gains in overnight trade, both corn and soybean futures were unable to hold on to higher gain, with corn closing down 1 and soybeans finishing up only 3 cents. Soybeans reached a five week high on Monday, driven primarily by conflicting Argentina strike threats and soaring equities. Reports claiming after an early rally, volume dried up and eventually hedge pressure, which has capped the market's gains during the past week, pushed the market lower.
Planted acreage discussion is helping to keep prices firm as it remains unclear how many acres will shift out of corn to other crops. Current private estimates are calling for a reduction in corn planted acres well below last year's total of 86 million acres. The soy market continues to see support this week by a farmers' strike in Argentina.
Chris Spurlock
Planted acreage discussion is helping to keep prices firm as it remains unclear how many acres will shift out of corn to other crops. Current private estimates are calling for a reduction in corn planted acres well below last year's total of 86 million acres. The soy market continues to see support this week by a farmers' strike in Argentina.
Chris Spurlock
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