Daily Grain Comments

Note: Corn Products in Chicago will be closed MONDAY June 21, 2010. They will re-open at 5AM , June 22, 2010.

Elburn Coop in Morris will be open for corn and soybeans on Monday, June 21, 2010.
Elburn Coop in Ottawa will be open for corn on Monday, June 21, 2010.

Export sales were generally uneventful yesterday for corn and soybeans. Corn did top the 1 million ton mark which was supportive to corn. Previously reported sale of 120,000 metric tons of corn to China showed up in the report as expected. Soybean sales were negative but, this was caused by a decrease in sales to Japan that offset the large sale last week that was questioned. Additional sales of soybean oil to China and new crop soybeans to unknown destinations (likely China) were reported today. Cattle on Feed report out today showed a 1% increase in total on cattle on feed and a 23% increase in placements from last year. Fed Cattle marketings were the lowest for the month of May since the report started in 1996. The report was about as the market expected. US EPA let it be known that they would not have a decision on increased ethanol blends is gasoline until this fall. They are waiting on test results data from the Department of Energy before making a determination. This data is expected to out around the end of September. Soybean basis continues to be strong nearby. We continue to offer free DP until October 15, 2010 for soybeans in storage or delivered to Elburn Coop facilities.

A strong storm moved through our area this afternoon with high winds and heavy rain lasting about a half hour. Have heard reports of hail and power outage but, haven’t heard any reports of significant damage thus far.

In today’s trading, corn and soybean futures were up at the close while wheat was down slightly. July corn finished up 3 ¼ for the day and up 11 ½ for the week. July soybeans closed up 9 today and up 14 for the week. July Chicago wheat futures finished 1 lower on the day but, up 21 for the week. Outside markets for equities and crude oil were slightly higher today with little new news to move them.

National average on highway diesel fuel prices were lower for the fifth week in a row dropping 1.8 cents in the latest report. Crude oil prices have recovered to the mid 70’s per barrel in recent weeks which could cause fuel prices to inch up or at least stop falling. Crude and distillate stocks rose slightly this week while gasoline stocks fell slightly. Stocks of all three products are historically high but, gasoline is moving closer to its average seasonal range where crude and diesel are not.

Have a great weekend!
Mike Etienne