Afternoon Market Highlights
12/3/2019 3:55:50 PM
Tough day in the ag markets with not a lot of fresh supportive news. There is lots of uncertainty about the crops left in the field, although there is starting to be some sentiment that there are bushels out there, they are just not thought to be very good quality.
- The last trading day for January options is December 27th. First Notice Day for January futures is Tuesday, December 31st with all long positions reported on Monday December 30th.
- StatsCan to release their updated production estimates on Friday, December 6th.
- USDA to release their updated production and S/D estimates on December 10th at 11 AM CT.
- Energy markets were mixed with crude oil up 36 cents at $56.32/barrel.
- The US$ was a bit softer at 97.73, the gold market was 14 bucks higher at 1480 and the CD$ was slightly higher at 0.7526.
- DJIA down 280 at 27502, S&P down 22 at 3091 and NASDAQ down 47 at 8521.
Corn prices were mixed with the nearby lower on weakness in the wheat market, technicals and a bit of profit taking. The March contract failed to hold at or above its 20-Day MA of $3.82. Losses were limited from delayed harvest activity.
- Closes: March at $3.81 ¼, down ¼ cent, July at $3.91 ¾, up 1 ½ cents, September at $3.88 ½, up ¾ cent and December at $3.92 ¼, up 1 cent.
- Gulf premiums were 1-2 cents weaker for December.
- Spreads: H/K 6 carry, H/N 10 ½ carry, N/X 11 ¼ carry, X/F 6 ¼ carry.
The soybean market finished the day in slightly positive territory after several days of weaker prices. Ideas of big South American crops and lack of a trade deal between the Us and China weighed on prices.
- Closes: January at $8.71, up ½ cent, July at $9.14, up ½, November at $9.25 ½, up ¾ cent.
- Gulf premiums were 2 cents weaker for December.
- Spreads: F/H 14 ¾ carry, F/K 29 ½ carry, F/N 42 ¼ carry, N/X 11 ¼ carry, X/F 6 ¼ carry.
Wheat prices fell on profit taking, technical selling and slow demand. Egypt’s GASC bought Russian wheat. KC drew pressure from weakness in the Chicago market. Mpls held in positive territory from unwinding of spreads against the other wheat markets.
- March closes: Mpls at $5.13 ½, up 3 ¾ cents, KC at $4.36 ¾, down 2 ½ cents and Chicago at $5.25 ¼, down 10 cents.
- Japan tendered for 161k tonnes of optional origin wheat for LH Jan/FH Feb shipment (57k US spring, 38k Canadian spring, 19k US HRW and 15k US white).
- Egypt bought 295k tonnes of Russian wheat.
- Spreads: Mpls H/K 9 carry, Kansas City H/K 7 ¾ carry, Chicago H/K 4 ½ carry.