Afternoon Market Highlights
3/10/2020 3:21:00 PM
The USDA report was a bust for the most part. US ending stocks were unchanged for corn bans and all classes of wheat. The funds have moved over to the buying side of the table. Let’s see if the momentum can continue.
- The energy and equity markets saw a rebound from stimulus hopes.
- Policy easing by many central banks helped bring calmness to Wall Street, which allowed some recovery from yesterday’s steep losses.
- Crude oil up 3.50 at $34.53/barrel.
- The US$ saw a healthy 1.517 bounce back to 96.41, the gold market down 29-30 bucks at $1,646/ounce, CD$ down 0.00685 at 0.72690.
- Wall Street saw renewed life with the DJIA up 1104 at 24955, S&P up 119 at 2867 and NASDAQ up 376 at 8326.
Corn prices traded higher on spillover strength in the energy and equity markets. Prices drew additional support form emerging bargain buyers.
Wheat prices moved higher, in choppy trade, on technicals and borrowed strength in the corn and soybean markets. World supplies of wheat were reduced slightly to 287.14 mmt. Algeria is in the market for a jag of optional origin mill wheat.
- May closes: Mpls at $5.18 ¾, down 2 cents, KC at $4.45, up 4 cents and Chicago at $5.22 ¼, up 3 ½ cents.
- The USDA left the wheat balance sheets unchanged for 2019/20.All class carryout numbers were unchanged from the February report.
- Russian currency continues to fall, giving them an edge in the world export arena.
- Spreads: Mpls K/N 10 ¼ carry, Kansas City K/N 7 carry, Chicago K/N 1 inverse. Mpls May sits at a 73 ½-cent premium over KC May.