SOYBEANS For the upcoming USDA reports, soybeans could be the market with the most volatility. The recent dry weather across a large portion of the Midwest has been accompanied by very mild temperatures. Traders have become familiar with the old mantra that corn yields are made in late July and soybean yields are made in […]
December Kansas City Wheat has seen a $1.34 ¼ cent rally on the heels of a nearly $3.00 rally in Minneapolis Spring Wheat over the same period. While the fundamental story in Kansas City Hard Red Winter Wheat is not nearly as exciting as it is for the Minneapolis Hard Red Spring contract, the overall […]
On July 12th the USDA will release it’s most recent Supply and Demand Estimates. Our analysts go over what changes the USDA may have to make to the corn, soybean and wheat balance sheets to assimilate the problematic planting and early season weather, export demand, acreage and the carry out from last year.
Grain end-users should guard against complacency. Don’t become overconfident that supply will drive prices significantly lower. On normal or seasonal declines in corn, wheat and soybeans prices, consider using option plays to define maximum prices to be paid for 2017 and 2018 needs. With 2016/17 world ending stocks expected to be at record highs for […]
The wheat market was able to hold on to gains after the release of the USDA report. All wheat production was pegged at 1.820 billion bushels compared to trade expectations for 1.858 billion. This is down 490 million bushels from last year. Winter wheat production came in at 1.246 billion bushels versus the average estimate […]
The USDA Crop Production for winter wheat and the Supply/demand update should set the tone this week. While some damage and lost acres may lower the supply, the upside action has been minimal as traders see record world stocks as a key bearish force. Both Chicago and Kansas City wheat struggled yesterday with pressure coming […]
Day 1 of the Kansas wheat tour yesterday with the tour pegging northern Kansas yield at 43.0 bushels versus 47.1 last year and the five year average of 42.7. They noted the full extent of the damage from recent freeze event will not be known for several days. Today scouts will travel from Colby to […]
July wheat traded in a narrow 3 1/4 cent range overnight in moderate volume. The open interest in Chicago wheat went down 17,053 contracts yesterday with short covering, the KC wheat market saw open interest down 9,662 contracts also with short covering action. EU soft wheat production is forecasted to rise 5.9% to 143.8 million […]
As the commodity markets enter the second quarter of 2017, they appear to be facing a global recovery but perhaps not as brisk as was hoped for in in the weeks and months following the US election. While the reflation prospect remains in play, the potential for a commodity rally has been reduced by the […]
SOYBEANS The USDA Supply/demand report for soybeans was considered slightly bearish as ending stocks came in at 435 million bushels compared to the average estimate of 418 million bushels. The range of estimates was 400 to 444 million bushels and compared to February’s 420 million bushels. While crush was revised up by 10 million bushels, […]
