09-05-2012 06:43 AM - edited 09-05-2012 02:28 PM
At the close:
The Dec. futures corn contract settled 14 1/4 cents lower at $7.90 3/4. Nov. soybean futures contract ended 20 3/4 cents lower at $17.47. Dec. wheat futures finished 21 cents lower at $8.67 3/4 per bushel. The Dec. soyoil futures contract finished $0.25 lower at $57.97. The Dec. soymeal futures contract ended $8.40 per short ton lower at $525.00.
In the outside markets, the NYMEX crude oil is $0.26 per barrel higher, the dollar is lower and the Dow Jones Industrials are 16 points higher.
The Dec. futures corn contract is trading 10 1/2 cents lower at $7.94. Nov. soybean futures contract is trading 20 3/4 cents lower at $17.47. Dec. wheat futures are trading 15 cents lower at $8.73 per bushel. The Dec. soyoil futures contract is trading $0.35 lower at $57.87. The Dec. soymeal futures contract is trading $7.70 per short ton lower at $525.70.
In the outside markets, the NYMEX crude oil is $0.04 per barrel higher, the dollar is lower and the Dow Jones Industrials are 29 points higher.
One analyst says, "It's 'turnaround Tuesday' occurring on Wednesday, due to Monday's closing. We had big buying in the grains Monday night, into Tuesday, as record rainfall from the hurricane presented flooding of low croplands in the southern Delta and eastern Corn Belt. With beans hitting highs for the year, Tuesday, and corn and wheat gaining big profits, Tuesday became a chance for traders to bank some profits. Also we need to trim some of the weak 'longs' out, ahead of next week's big USDA Crop Report. Last month, we saw the report release on Friday. Within that week, Monday and Tuesday were down days with Wednesday, Thursday and Friday having big upward gains. Today's break is timely and sets up a buying opportunity prior next week's crop report. The industry fears that report will show lower yields and production, again."
At the open:
The Dec. futures corn contract is trading 6 cents higher at $7.98. Nov. soybean futures contract is trading 7 cents lower at $17.60. Dec. wheat futures are trading 8 cents lower at $8.80 per bushel. The Dec. soyoil futures contract is trading $0.17 lower at $58.05. The Dec. soymeal futures contract is trading $3.20 per short ton lower at $530.20.
In the outside markets, the NYMEX crude oil is $0.05 per barrel lower, the dollar is lower and the Dow Jones Industrials are 45 points higher.
USDA reports no fresh export sales Wednesday. Therefore, we still have no confirmation of floor rumors about China buying U.S. soybeans over the weekend.
More Market Noise:
--Argentina releases 2.75 million metric tons of corn for export. In all, over 10.0 mmt of that country's corn has been released for the export market for 2012-13.
--Russia's 2012-13 wheat production estimate is pegged a 41.0 million tons.
--As of yesterday, Russia has harvested 55 million tons of grain, yields are lower.
--Ukraine has harvested 35.82 million tons of grain, so far this year, with lower yields reported.
The CME Group Wednesday announced that agricultural commodities volume in August averaged 1.0 million contracts per day, up 2 percent compared with the prior-year period. Overall, CME Group's trade volume for August fell 40% vs. a year ago.
Early calls: Corn 7-8 cents lower, soybeans 7-9 cents lower, and wheat 5-7 cents lower.
Overnight grain, soybean markets=Trading lower.
Crude Oil=$0.16 per barre lower.
Wall Street=Seen opening mixed, as Fed Ex reports lower earnings. Global weakness hurt the package delivery company. The market is awaiting Thursday's European Central Bank meetings.
More in a minute,
09-05-2012 07:01 AM
This morning, a nice wide band of rain is moving out of Iowa and into the eastern Corn Belt. Here's the latest Freese-Notis Weather Inc.'s radar:
At least some soils are benefitting from a repleneshing of sub level tables for next year. It all adds up, right?
09-05-2012 07:11 AM
It followed the weather pattern of most of the other rains. It was developing in our area, but didn't actually start to rain, until East of us. There were some spotty showers to the North and South, but the real rain came, as it neared the MO river.
09-05-2012 07:18 AM
We had very strong winds, forecast to be 70 to 80 miles an hour, along with some small hail and a short period of heavy rain. Almost afraid to look at my corn fields.....strong winds and very weak stalks not a good combination.....
09-05-2012 02:57 PM
Rain makes grain.
I did not get any, but South Podunk country isn't one of the major grain producing regions anyway. We only count at tax time.
09-05-2012 04:11 PM
It's a buying opportunity. No real news. Just some shaking out the weak 'longs' ahead of the Report. Stay tuned for private analyst firms pre-report estimate and tomorrow's weekly Export Sales. Maybe some more room for the downside. But, I'm told another day or so only, because time is short to get long before that bullish Report next week.
09-05-2012 04:44 PM - edited 09-05-2012 04:52 PM
Mike-------think it over ------your expect usda to provide a bullish report??---------wake up mike, this may be a bad dream headed to a nightmare. Maybe it will be announced at the dem convention, A shakedown of the rich to find another 3 billion bushels of corn hidden away in the corporate files(code for on farm storage, held by those mega farmers, tucked away in their bat caves)--------- And the crowds go wild. Now it won't matter what the report says of the harvest actually is. Yeaaaa, another 4 day work week at the ag department. lame swing at the solid research behind usda data------
I hope it goes to $12 in 2013---------except I am not sure we can take another crop failure in the production(peanut) gallery.
And I hope the crowd goes long again in anticipation cause these are the best prices I have ever sold corn and beans at and I need buyers to keep it going long enough to get it out of the field and priced.--------- The last thing I want to be is the last guy owning grain at record prices when the last buyer flips out the light and heads home.
For once in my lifetime our grain storage facility is being converted to a logistical sorting and delivery point--------------we will switch it back as needed.