Friday June 19,2009

Soybeans closed shrply lower today to finish the week, November beans were down 37 cents and near 10.06 Private estimates of higher 2009 US acres for soybeans and concern that recent rally in prices shifted US soybean export demand to South America For the week November beans lost 95 cents. the perceptionof mostly favorable 2 week US weather forecast and that commodity prices had run into strong resistance especially with crude oil at $70/barrell.
Corn didn't fare out very well either with corn down 4 cents. Earlier in the week xomd market watchers had suggestedto corn end users to add as much as 50pct of remaining 2009 corn near 4.20 December futures was down 22 cents from last Fridays close Wheat futures closed lower on the day also .
This growing season is going to wear on a lot of nerves whether it be the end user or the producer. One thing for sure the market will not stand still.

Chuck Peterson

Wednesday June 17, 2009

Today Grains in Chicago closed higher on a mid week short covering bounce. This lead by a warmer forecast for next week amid oversold conditions.

Corn closed up 3 1/2 cents in the December to 4.28 3/4 which is near the high end of the trading range. This could attract some follow through buying if we can trade through toady's high at 4.29 3/4. Though the short term trend has turned lower. Traders general consciences is for improving crop conditions in next weeks report will likely limit movement to the upside. As the corn crop conditions and progress are relatively near the average indicating still a strong potential for at least trend line yields.

Soybean closed up 5 in the old crop and up 21 1/2 in the November. Most of this lead by bull spread liquidation as it closed much lower as South American beans are offered much cheaper than U.S. soybeans. Soybean crop conditions seem to be improving also as we have been making progress. Yet, concerns over yield drag on the later planted soybeans are circulating.

Jeff Neisler

Tuesday June 16th, 2009

Day 3 of the hedge fund commodity liquidation as overnight strength and a classic turn-around-Tuesday trade didn't materialize. The weather next week is starting to gain some traction as almost everyone sees a ridge of hot air settling in on the Midwest. With very little drought areas, a week of 80-90 degrees should be withstood fairly easily. If for some reason the anticipated high pressure ridge persists beyond next week, a strong case could be made for volatile trade the rest of June. Today, it is estimated the funds sold another 6-7,000 contracts of corn, note this is much lighter than last Friday or yesterday.

Corn and Soybean basis continues to remain strong as the pipeline looks to get stocks and fight a lower futures market. New crop corn and bean basis is also tightening and should be closely watch and locked in if desirable levels are seen.

Dow dn 107 points to 8504
Crude Oil dn $.36 to $70.26


Scott Meyer

Monday June 15th, 2009

Corn and soybeans lost between 2 to 3 percent today as rebound in the dollar triggered profit-taking and led to a general slide in commodities across the board. Russia expressed confidence in the dollar which helped to spur a rally in the currency. Also hampering grains today was an increase in heat moving into the region hopefully giving a boost to a slow and wet spring.

Corn Conditions
This Week 70% Good/Excellent, 25% Fair, 5% Poor/Very Poor
Last Week 69% Good/Excellent, 25% Fair, 6% Poor/Very Poor
Last Year 57% Good/Excellent, 31% Fair, 12% Poor/Very Poor

Bean Conditions
This Week 66% Good/Excellent, 28% Fair, 6% Poor/Very Poor
Last Year 56% Good/Excellent, 42% Fair, 2% Poor/Very Poor

Chris Spurlock