Today the grains in Chicago closed mixed. May Soybeans closed up 2 and May Corn down 2 1/4. With the exception being May Wheat which closed down 22 1/2 cents as US wheat prices are higher than international competition.
The grain market is taking note of a few things today:
1) Additional premium needed to old crop beans to satisfy Chinese appetite as the Argentina farmer is about ready to strike against the soybean export tax.
2) US Dollar Index traded to a fresh 1 month low today.
3) A surprise jump in Crude Oil and gasoline inventories
4) Rumors of Valero Energy Corp bid on 7 Verasun ethanol plants at 25% replacement cost or 61 cents/gal awaiting bankruptcy court approval.
Overall, the grain markets are trying to consolidate prior to USDA March 31st Planting Intention Report. With the likely hood of old crop soybeans continuing to build premium vs. all other markets in the short run.
Up and Coming News:
Thursday 7:30am CST USDA Export Sales estimates as follows:
300-500 MT Soybeans
600-800 MT Corn
150-300 MT Wheat
Jeff Neisler
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