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Community Manager
marketeye
Posts: 3,096
Registered: ‎05-03-2010
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Floor Talk January 22

[ Edited ]

At the close:

The March corn futures contract closed 1 1/4 cents higher at $4.26. The March soybean futures contract finished 1 cent lower at $12.79. March wheat futures finished 1 cent lower at $5.62 per bushel. The March soymeal futures contract ended $2.90 per short ton higher at $419.40. The March soyoil futures closed $0.26 lower at $37.84.
In the outside markets, the NYMEX crude oil is $1.71 per barrel higher, the dollar is higher and the Dow Jones Industrials
are 35 points lower.

 

Wheat touches three-year low.

 

Regarding the question of when will this corn market turn around, one analyst says his company is being very honest with their farmer-customers. He says, "Take the market above $4.60 and I would agree that a $4.08 price could be considered a major low. But, we have been very forward with our producers who keep wanting to wait for something better.  There are a lot of headwinds for this market to fight if anything better is to come."

 

Mike

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At mid-session:

The March corn futures contract is trading 1 1/2 cents higher at $4.26. The March soybean futures contract is trading 7 1/2 cents lower at $12.73. March wheat futures are 3/4 of a cent lower at $5.61 per bushel. The March soymeal futures contract is trading $1.10 per short ton lower at $415.40. The March soyoil futures are trading $0.24 lower at $37.86.
In the outside markets, the NYMEX crude oil is $1.47 per barrel higher, the dollar is higher and the Dow Jones Industrials
are 59 points lower.

 

One analyst says, "South American weather brought sellers into the market yesterday and to a lesser degree today as their crop moves closer to the finish line.  Additionally, rumblings of China switching destinations to SA for deliveries beyond Feb has also weighed on the market.  And as you pointed out, we are giving back part of recent gains in soybeans as speculators take money back off the table.  Corn, being more oversold relative to the USDA report, has attracted a small bid and keeps the market buoyed at current levels.  However, the buyer is also well aware of the inventory that exists, so the bid is not overzealous."
 

Mike

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At the open:

The March corn futures contract is trading 2 cents higher at $4.27. The March soybean futures contract is trading 1 cent lower at $12.79. March wheat futures are 1 cent higher at $5.63 per bushel. The March soymeal futures contract is trading $0.80 per short ton higher at $417.30. The March soyoil futures are trading $0.14 lower at $37.96.
In the outside markets, the Brent crude oil is $0.74 per barrel higher, the dollar is lower and the Dow Jones Industrials are 28 points lower.

 

Mike

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At 8am:

--USDA announces Wednesday that Japan bought 105,664 tons of U.S. corn for 2014-15 delivery.

 

Mike

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At 7:20am

Early calls: Corn is seen 2-4 cents higher, soybeans 3-5 cents lower, and wheat 1-2 cents higher.

Trackers:
Overnight grain, soybean markets=Trading mostly higher.
Brent Crude Oil=$0.48 per barrel higher.
Dollar=Lower.

Wall Street=Seen lower, with more earnings coming. On Wednesday, IBM earnings missed expectations.

World Markets=Asia/Pacific stocks were mixed-to-lower, Europe stocks lower.

 


More in a minute,

 

Mike

Senior Contributor
luisvieira
Posts: 222
Registered: ‎04-24-2012
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Re: Floor Talk January 22

Mike,

 

I think this issue about Iran will impact the grain market sooner or later. Here is what I posted today on my own AgroSouth News:

 

Operators have revealed that Brazil exported at least 50,000 tons of corn to Iran after an agreement was reached by international leaders to relax sanctions, Reuters broke the story today. The corn would be shipped from the port of Paranaguá, in the southern state of Paraná, in southern Brazil. Other estimates say that nearly 100,000 tons would be shipped in this sale. “Iran is considered to have a big necessity to buy grains and I think more purchases will be seen as the sanctions are relaxed”, an European trader told Reuters.

 

The report also said that Iran was never impeded to buy food, but sanctions of western countries have complicated most transactions and transportation of goods. The country has nearly US$ 100 billion in assets, but just would use US$ 4.2 billion under the recent nuclear agreement, according to a senior US employee listened by Reuters.