Floor Talk, April 29, 2019
At the close:
At the close, the May corn futures finished 3/4¢ higher at $3.52. July corn futures finished 1/2¢ higher at $3.61 3/4.
May soybean futures closed 6 1/4¢ lower at $8.47 1/2. July soybean futures ended 6 1/4¢ lower at $8.60 3/4.
July wheat futures finished 7 1/4¢ lower at $4.35 1/4.
July soymeal futures settled $2.80 per short ton lower at $300.90. July soy oil futures finished $0.35 cent higher at 28.19¢ per pound.
In the outside markets, the NYMEX crude oil market is $0.19 higher, the U.S. dollar is lower, and the Dow Jones Industrials are 49 points higher.
At midsession, the May corn futures are 2 1/4¢ higher at $3.53. July corn futures are 2 1/2¢ higher at $3.63 3/4.
May soybean futures are even at $8.53 3/4. July soybean futures are unchanged at $8.67.
July wheat futures are 5¢ lower at $4.37. July soymeal futures are $0.10 per short ton lower at $303.60.
July soy oil futures are $0.40 cent higher at 28.24¢ per pound.
In the outside markets, the NYMEX crude oil market is $0.03 lower, the U.S. dollar is lower, and the Dow Jones Industrials are 24 points higher.
Jason Roose, U.S. Commodities, says that the market is getting niblets of bullish factors.
“Grains are mixed today, with all eyes on the weather forecast. Corn is trading in positive territory, with wet weather considered friendly. Any further delay in planting could lower potential yield or see farmers switch to planting soybeans. Potential Argentina export tax on grain and wet weather in Canada are also giving the grains support,” Roose says.
In early trading, the May corn futures are 4 3/4¢ higher at $3.56. July corn futures are 4 3/4¢ higher at $3.66.
May soybean futures are 2 1/2¢ higher at $8.56 1/4. July soybean futures are 2 1/2¢ higher at $8.69 1/2.
July wheat futures are 1/4¢ higher at $4.42.
July soymeal futures are $0.70 short ton higher at $304.40. July soy oil futures fare $0.05 cent lower at 27.79¢ per pound.
In the outside markets, the NYMEX crude oil market is $0.13 lower, the U.S. dollar is lower, and the Dow Jones Industrials are 5 points lower.
Al Kluis, Kluis Advisors, says that the weather and fund position are driving the market.
“With funds short over 320,000 contracts of corn, and with the wetter forecasts, the odds are good that corn prices will move higher,” Klus told customers in a daily note.
He added, “This afternoon, watch the USDA Crop Progress report. I expect nationwide corn planting to be at about 14%. That compares to 25% in the six-year average. With the wet forecast now through mid-May, I doubt if the U.S. planting progress on May 13 will show corn planting above 50%.”
What say you?
Re: Floor Talk, April 29, 2019
Well said kim....most of the rest of the world has trouble grasping
that we make a lot of money during droughts or other supply
challenged years and the year after the event....every year we are
pulling for a zero to come in somewhere....usually IN does its fair share during
I suppose this year all eyes will be on ND/SD since they are so
far NORTH and are adding a 1.65 mil acres of corn or so.
It is quite interesting to me that the huge spec bubble traders are
counting on ND/SD/MI/and to a small degree far N-MN to produce the
carryout. These are areas that don't often grow 177 bu corn AND they
are 500 miles from the users that need the corn. E-plant just called
again today and offered 2 over July if we deliver this week. The corn
glut is just killing them. (makes the cash price more than it was a month ago btw)
I know I'm wasting the electrons in the screen, but it is an interesting position
for them to adopt. Arguably it is pretty short-sighted but also it has
been right since Jan 1 (with aid of some pretty bogus data out of NASS fwiw)