Afternoon Market Highlights


Highlights

The markets were quiet in modest volume ahead of the weekend.  Parts of the US Midwest is expected to see another bout of snow over the weekend and early next week. The Dec 15 deadline for another round of tariffs to be imposed on Chines goods is still a go. President Trump assures folks that trade talks are going in a favorable direction. The energy markets are mostly higher, the gold market has been sharply lower most all day and the CD$ is on the defensive. Wall Street is trading higher across the board. 

  • USDA S&D report scheduled for Tuesday next week at 11 AM CT.      

Corn

The corn market traded in narrow ranges in mostly light volume ahead of the weekend and next week’s USDA data. Slow export demand lurks over the corn market and this could be the situation for a while yet. 

  • Closes: March $3.76 ¼, unchanged, July at $3.86 ¾, down ¼ cent, September at $3.86 ¾, up ½ cent, December at $3.90 ¼, down ¼ cent.
  • Uncertainty remains, about the size of this year’s corn crop, with nearly 11% of the crop standing in the field.
  • The USDA announced the sale of 245k tonnes of corn to Mexico for the current marketing year.
  • Spreads: H/K 5 ¾ carry, H/N 9 ¾ carry, N/Z 3 ¼ carry. 

Oilseeds

Soybean prices continues their march toward higher levels in consolidating type trade, after recent losses. The market drew additional support from ongoing optimism over the US/Chinese trade deal. Soybeans were viewed as being a bit oversold after dipping down to 3-month lows early in the week. 

  • Closes: January at $8.89 ½, up 5 ¼, March at $9.03 ¾, up 5 cents, July at $9.31 ½, up 4 ¾ cents, November at $9.37 ½, up 4 ½ cents. Products were mixed with meal down 2 bucks and oil up 72 points.
  • 4% of the soybean crop is thought to be out in the fields. Most likely it will stay there now till later in the winter or next spring.
  • StatsCan pegged their canola crop near 18 mmt down nearly 2.0 mmt from last year.
  • Spreads: F/H 14 ½ carry, F/K 28 ½ carry, F/N 42 carry, N/X 6 carry. 

Wheat

The wheat market could still use a little help from its friends. Plentiful world supplies and stiff competition keeps a lid on wheat prices in the US. Mpls gained on KC and Chicago this week. 

  • March closes: Mpls at $5.12, down 1 ¾ cents, KC at $4.30 ½, down 5 cents and Chicago at $5.24 ½, up ¾ cent.
  • Algeria bought a slug of wheat which was thought to be sourced from either France or Argentina or both.
  • Pretty consistent selling of spring wheat was noted throughout the week. Not looking for a friendly USDA report next week.
  • Spreads: Mpls H/K 9 carry, Kansas City H/K 8 ¼ carry, Chicago H/K 3 ½ carry.