Afternoon Market Highlights


Highlights

Crop progress, weather and technicals brought value to the grain markets ahead of the USDA S&D report on Thursday. A winter storm is expected to bring a foot or more of snow across the Dakotas, MT and Western MN this week.     

  • The energy markets are mostly softer with crude oil down 39 cents at $52.36/barrel.
  • The US$ is up 153 at 99.12 (seems to be holding at this level now), the gold market is up 6-7 bucks at $1507/ounce and the CD$ is off a freckle at 0.7519.
  • The market awaits this week’s USDA updated crop production numbers and the US/Chinese trade talks. 

Corn

Corn prices opened slightly higher on lagging crop maturity and lack of country movement. Prices pushed higher on weather forecasts for snow (6-12”) across the Dakotas, Montana and Minnesota later this week. 

  • Closes: December at $3.95 ¾, up 8 ¾ cents, July at $4.14 ½, up 6 ½ cents, September at $4.06, up 3 ¾ cents and red Dec at $4.09, up 2 ½ cents.
  • Gulf premiums were mostly steady.
  • Spreads: Z/H 10 ¾ carry, Z/N 18 ¼ carry, Z/Z 13 ¾ carry, H/K 4 ¾ carry, N/Z 4 ½ inverse. 

Oilseeds

Soybean prices were stronger on forecasts for snow across the Upper US Midwest this week.  Farmers were said to be making a mad dash to get as many of their soybeans harvested as they can before the winter storm hits. Selling is light as they take advantage of the limited days of free storage.   

  • Closes: November at $9.20 ½, up 5 ¼ cents, January at $9.35 ¼, up 5 ¾ cents, July at $9.65 ½, up 6 ½ cents, red November at $9.67 ½, up 5 cents. The products were mixed with meal up 4-5 bucks and oil down 24 points.
  • Gulf premiums were 1-2 cents firmer for Oct/Nov.
  • There was some chatter that China was in the market for some more soybean cargoes ahead of this week’s trade talks.
  • The canola market traded higher, to levels not seen since June, on technicals.Resistance in the November is seen at its 200-Day MA of $467.93.Today’s high in the November contract was $465.40. Prices were also supported on harvest woes.
  • Spreads: X/F 14 ¾ carry, F/K 21 ¼ carry, X/N 44 ¾ carry. 

Wheat

The wheat market traded higher on a bout of short covering in Chicago and concerns about the last 10% spring wheat still in the fields of ND and MT.  Ideas are that the wheat will stay in the field until spring, because of too much rain and forecasts for a possible foot of snow this week. 

  • December closes: Mpls at $5.43 ½, up 5 cents, KC at $4.10 ¼, up 8 cents and Chicago at $5.00 ¼, up 11 cents.
  • The KC Dec ¾ cent above its 50-Day MA of $4.09 ½, The Chicago Dec got within ½ cent of its 100-Day MA of $5.02 ¾ but failed to trade at or above it.
  • Egypt bought 295k tonnes of Russian and Ukraine wheat for November.
  • Spreads: Mpls Z/H Z/H 13 ¾ carry, Z/Z 50 ¾ carry, Kansas City Z/H 13 ½ carry, Z/Z 59 ½ carry.