Fricay April 3,2009

When the week started the bulls in the market were hiding in the corner while the bears were considered to be in the drivers because all the analysts were guessing that a huge acreage shift was going to happen in soybeans. Then comes Tueday morning
and the USDA estimated acres on soybeans were well below the average estimate. The noncommercial traders caame into the soybean market as strong buyers. Along with the noncommercials the commercial grain buyers also stepped up to the plate and bought large amounts of grain. Considering all the factors with the bullishness of the traders, the inverted future spreads , the trend being up and the technical bullish signals it seems as though the grains have a potential to extend the seasonal rally. The one thing that we need to start watching closer is the weather to see if we will get planting delays or not. With the week at its close I can definitely say I enjoyed this week better than last.

Chuck Peterson

April 2, 2009

Strong export sales and a surging stock market helped propel grains higher on Thursday. The rally was led mostly by sharply higher equities, with the export sales and higher crude oil providing more fuel for the climb. Corn closed above $4 on the board for the first time since Jan 26th. Producer selling wasn't as heavy as it had been earlier in the week. Forecast of wet weather in the Midwest continue to add support to the market.

The soybean market has seen impressive gains since Tuesday's Planting report. Once this report was out of the way, soybeans have been able to trade off their own bullish merits. Export sales report was out this morning showing soybeans 22 million bushels and reminding traders of the bullish underlying fundamentals in the market. Sales reported were more then triple what was needed to keep pace.

Wednesday April 1,2009

Grains today in Chicago closed on somewhat of a mixed tone consolidating huge gains from yesterday. May corn closed 8 3/4 lower at 3.96 and May soybeans traded the day narrowly mixed and settled at 9.52 unchanged.

We are now entering the weather market as it is perceived that weather will be the dictator of flex acres thus price will have to help lead the final acre placement. For now short term forecasts are cool and wet and it appears that the grains will be somewhat supported until that changes.

From a technical perspective May Corn closed above and held yesterdays mid range point. Support for May Corn is at the 20 day moving average at 3.85. May Soybean support the 20 day moving average at 9.12.

Upcoming News:
USDA Export Sales 7:30am cst estimates as follows:
Corn 800-1200 MMT
Soybeans 300-400 MMT

Jeff Neisler

March 31, 2009

What a wild ride it was today in the market with both corn and soybeans finishing up sharply higher followed by the USDA report. Soybean futures rose more than 5 percent on Tuesday after a key government report showed farmers planned to plant less soy this year than the market had expected, traders said. Corn and wheat futures also rallied, with corn up 4.8 percent and wheat up 4 percent, as an influx of money into the market late in the trading session pushed both commodities higher after hovering around unchanged for much of the day. Commodity markets edged up on
Tuesday from losses in the previous session, aided by gains in the stock market and a softer dollar, and are heading for their strongest quarterly performance since June last year.

USDA Highlights:

CORN ACREAGE: 84.986 MILLION ACRES
SOYBEAN ACREAGE: 76.024 MILLION ACRES


As the saying goes March goes out like a lion and April comes in like a lamb. Outside markets will most likely continue to play a big influence over the balance of the week as the equity markets prepare for Friday's unemployment report.

~Chris Spurlock

March 30th, 2009

USDA planting intentions report out tomorrow morning with expected acreage totals below:
Corn 83-85 million acres vs 86.0 last year
Soybeans 78-81 vs 75.7 last year
All wheat 56-59 vs 63.1 last year
Spring wheat 13-14 vs 14.13 last year

Dow Jones Industrial average down 254 pts to 7522 and crude oil down $3.92 barrel to $48.46 also contributed to the lower agriculture commodity closes.

USDA Report out tomorrow morning at 7:30, give your merchandiser at Elburn Coop a call to discuss what it said and what the opening calls are.
Thanks,

Scott Meyer