Afternoon Market Highlights


Highlights

  • President Trump tweeted that he asked John Bolton, the National Security Advisor, to resign saying that he disagreed strongly with many of his suggestions.
  • The energy markets were mixed, with crude oil and RBOB gasoline mostly higher whereas crude oil and natural gas were mostly lower.
  • The next WASDE report will be released on September 12th at 11:00 AM Central.

 Corn

Corn traded higher today, drawing strength from yesterday’s crop progress report that showed lower than anticipated crop conditions, as well as a crop that remains far behind on maturity. Additional strength comes from short covering in the market after reaching over sold levels.

  • The USDA announced an export sale of 278,200 tonnes of corn for delivery to Mexico during the 2019-2020 marketing year.
  • South Korea’s MFG purchased between 55,000 and 70,000 tonnes of optional origin corn after tendering for up to 140,000 tonnes.
  • Closes: September at $3.48 ½ up 7 ¾; December at $3.61 ½ up 7 ¼; March at $3.74 ½ up 7 ¼; May at $3.83 ½ up 6 ¾.
  • Spreads: U/Z 13 cent carry; Z/H 12 ¾ cent carry; H/K 9 cent carry; Z/N 29 cent carry.

 Oilseeds

Soybeans rocketed higher today, and the November contract closed above the 20-day moving average of $8.67 ¾. The strength in soybeans comes as rumors circulate that China plans to buy more U.S. soybeans while they continue to engage in trade talks with the U.S.  

  • Argentina reported that China will allow them to export soymeal for the first time.
  • The USDA announced an export sale of 138,00 tonnes of soybeans for delivery to Mexico during the 2019-2020 marketing year. They also announced the sale of 195,750 tonnes of soybean meal for delivery to Mexico. 155,000 tonnes is for delivery during the 2019-2020 marketing year and 40,750 tonnes is for delivery in the 2020-2021 marketing year.
  • Closes: September at $8.59 ¼ up 14 ¼; November at $8.72 up 14 ¼; January at $8.85 ¾ up 13 ¾; March at $8.99 up 13 ¼.
  • Spreads: U/X 12 ¾ cent carry; X/F 13 ¾ cent carry; F/H 13 cent carry; X/N 48 cent carry.

 Wheat

The wheat markets were higher across the board today. The strength in wheat comes from spillover strength in corn, as well as short covering. Both December Chicago and December Kansas City closed above their 20-day moving averages of $4.71 ¼ and $4.00 respectively. The December Minneapolis contract is tickling the underbelly of it’s 20-day moving average of $5.07 ½.

  • Jordan bought 60,000 tonnes of hard wheat from optional origins for $218.50 per tonne shipped in the second half of November.
  • Turkey provisionally bought 88,000 tonnes of durum wheat from optional origins. Prices ranged from $288.40 to $289.40 per tonne.
  • December closes: Chicago at $4.82 ¼ up 7 ¾; Kansas City at $4.03 ½ up 7; Minneapolis at $5.04 ¼ up 7.
  • Spreads: Chicago Z/H 5 ½ cent carry; Kansas City Z/H 14 cent carry; Minneapolis Z/H 14 ¾ cent carry.