06-11-2013 06:34 AM - edited 06-11-2013 02:58 PM
Note: Interesting story here about Pioneer opening a new seed production plant in Ukraine today. Our own Cheryl Tevis, Risk Management Editor, dove into the details of Ukraine expanding corn production.
Here is the link: Ukraine poised for global trade
At the close:
TheJuly futures corn contract settled 10 cents higher at $6.59. New-crop Dec. futures finished 5 cents higher at $5.50. The July soybean futures contract ended 28 cents higher at $15.40, new-crop Nov. soybeans settled 8 cents higher at $13.27. July wheat futures closed 7 cents higher at $6.96 per bushel. The July soymeal futures finished $15.10 per short ton higher at $463.40. The July soyoil futures closed $0.03 lower at $48.04.
In the outside markets, the NYMEX crude oil is $0.41 per barrel lower, the dollar is lower and the Dow Jones Industrials are 106 points lower.
At mid-session, the the July futures corn contract is 10 cents higher at $6.59. New-crop Dec. futures are trading 6 cents higher at $5.52. The July soybean futures contract is trading 27 cents higher at $15.39, new-crop Nov. soybeans are trading 5 cents higher at $13.24. July wheat futures are trading 9 cents higher at $6.98 per bushel. The July soymeal futures are trading $16.10 per short ton higher at $464.40. The July soyoil futures are trading $0.07 higher at $48.14.
In the outside markets, the NYMEX crude oil is $0.91 per barrel lower, the dollar is lower and the Dow Jones Industrials are 2 points lower.
One analyst is saying, "Today's market action is all about positioning ahead of Wednesday's big USDA crop report.
"New crop corn contracts are up on fear that Wednesday's USDA Report may lower corn acres and yields, due to the excessive spring rains," he says.
The November soybean contract is dragging its feet on fear corn acres may move to beans, he says.
Underpinning beans is the thinking of a strong crush pace that may show up on the report, he says.
"Don’t expect any big moves into the close today, as these fears are muted by the thinking that the USDA may wait until the June 28 final acreage report to make big yield adjustments."
That report includes survey information that runs through June 16."
At the open:
At the open, the the July futures corn contract is 3 cents higher at $6.53. New-crop Dec. futures are trading 2 cents higher at $5.48. The July soybean futures contract is trading 11 cents higher at $15.23, new-crop Nov. soybeans are trading 3 cents higher at $13.21. July wheat futures are trading 1 cent higher at $6.90 per bushel. The July soymeal futures are trading $5.10 per short ton higher at $453.40. The July soyoil futures are trading $0.23 higher at $48.30.
In the outside markets, the NYMEX crude oil is $1.14 per barrel lower, the dollar is higher and the Dow Jones Industrials are 18 points lower.
--No new USDA export sales.
--Russia's June grain exports are estimated to down 41% on-year.
--S. Korea bought 134,000 tons of optional origin corn from Cargill Tuesday.
--Japan seeks milling wheat in a tender.
--Taiwan seeks U.S. corn, soybeans in June tender.
Early calls: Corn is seen 2-4 cents higher (old-crop), soybeans 8-10 cents higher (old-crop), and wheat 1-2 cents lower. Meanwhile, new-crop corn 1-2 cents higher and soybeans are seen 1-2 cents higher.
Overnight grain, soybean markets=Trading higher.
Crude Oil=$0.78 per barrel lower.
Wall Street=Seen lower, as the Bank of Japan decides not to move to calm volatile markets.
World=Asia/Pacific stocks were lower and Europe's stocks are lower.
More in a minute,
06-11-2013 07:38 AM
I read the article about Ukraine. They are a force in the exports, since the time when corn has hit $8 in the US here 3 things have happened short US crop, short crop in Ukraine and crop issues in South America.
Now when they start using "modern" hybrids and more mordern technologies, Look out.......
06-11-2013 08:06 AM
I agree. It is a country and the Black Sea is a region to watch, regarding expansion of corn production. What challenges does this pose for the U.S. farmer? My first impression is that more corn will need to be grown on the same amount of acres?
Just a thought. What say you?
06-11-2013 08:51 AM
06-11-2013 09:00 AM
This was back in 2006 and I saw a show on Ukraine agriculture. In 2006 it was only using 25% of the acres that where farmer when it was under the soviets. So they have ALOT of potential. The biggest hurdle over there is that when the Soviets fell apart the Ukraine gov. Give everybody a little plot of land so they thought it would be a sustainable agricultural system. These really big guys that are farming over there may have well over 100 landlords to put together a farm.
06-11-2013 01:08 PM
Interesting that you know that Stalin, Lenin, Etal destroyed the farm sector in the Ukraine. Maybe if they had just stuck to Medicine, Education, and Income Redistribution they would have been ok?
06-11-2013 01:54 PM
RS that might have been too far over his head.
06-11-2013 02:21 PM
Pretty sure they don't have them here either.