cancel
Showing results for 
Search instead for 
Did you mean: 
Veteran Advisor

Floor Talk December 21, 2020

At the close:

At the close, the March corn futures finished 2 1/2¢ higher at $4.40 1/2. May corn futures closed 2 3/4¢ higher at $4.42.

January soybean futures settled 23 1/4¢ higher at $12.43. March soybean futures settled 23 1/2¢ higher at $12.47 1/2.

March wheat futures finished 3¢ higher at $6.11 1/2.

Jan. soymeal futures closed $6.80 per short ton higher at $412.30.


March soy oil futures finished 0.12 of a cent lower at 39.55¢ per pound.



In the outside markets, the NYMEX crude oil market is $1.31 per barrel lower (-2.67%) at $47.79. The U.S. dollar is higher, and the Dow Jones Industrials are 92 points higher (+0.44%) 30,271 points.

 

Mike

---------

At midsession:

At midsession, the March corn futures are 1/4¢ higher at $4.37 1/2. May corn futures are 1/2¢ higher at $4.39 3/4.

January soybean futures are 16 3/4¢ higher at $12.36 1/2. March soybean futures are 17 1/2¢ higher at $12.41.

March wheat futures are 1 1/2¢ higher at $6.09 1/2.

Jan. soymeal futures are $3.90 per short ton higher at $409.40.


March soy oil futures are 0.15 of a cent lower at 39.92¢ per pound.



In the outside markets, the NYMEX crude oil market is $2.19 per barrel lower (-4.46%) at $46.91. The U.S. dollar is higher, and the Dow Jones Industrials are 133 points lower (-0.44%) 30,046 points.

 

Beans in the teens next? What say you?

 

 

Mike

----------

At 8:45am:

 

Soybeans live comfortably in a $12 world Monday.

 

Mike

0 Kudos
10 Replies
Honored Advisor

Re: Floor Talk December 21, 2020

http://www.soybeansandcorn.com/news/Dec18_20-Labor-Unrest-Paralyze-Ports-in-Argentina 

 

Also the crop ratings in Argentina are dropping due to lack of rain. Even more so than in Brazil.

Argentina is not out of supplies just either unshipable or not for sale at this time.

There is still farmer held bu here too.

 

Edit,

The basis here in the South Podunk area of Iowa has not changed much if at all for several weeks now. Usually we widen basis with the kind of run up in board prices we've seen but not this time, yet.

We are still in negative basis for corn and beans.

0 Kudos
Senior Advisor

Re: $12 beans, See what you've missing for four years.

With 45 cent basis here, beans are pretty close to $12 cash.  For most of the past four years, the Brazilians have been sell theirs for $12 or better while many of you got $6.50-7.00, $5 less.

  And whose fault was that?  Suckers!

0 Kudos
Honored Advisor

Re: $12 beans, See what you've missing for four years.

 

Rick you are flat out lying and

 

putting out fake news.

Honored Advisor

Re: $12 beans, See what you've missing for four years.

0 Kudos
Veteran Advisor

Re: $12 beans, See what you've missing for four years.

"In addition to the limited supply in the domestic market, sales for the next crop have increased. Almost 50% of the 2020/2021 harvest has already been sold by the beginning of September. In the same period of last year and in the historical average, this percent was 20%, according consultancy Safras & Mercado. In Mato Grosso – a state within Brazil — farmers started the planting soybeans in September with more than 70% of the production already sold, a percentage well above the historical average of five years, which is 30%."

 

Interesting that they are well above average in the amount forward contracted.

So what do Brazilian farmers do with "extra" cash??

0 Kudos
Honored Advisor

Re: $12 beans, See what you've missing for four years.

Clear the next sq kilometer of land for next year.

If they sold in August before the first week of Sept they too are missing the "big bucks".

Senior Contributor

Re: $12 beans, See what you've missing for four years.

Don’t really understand why anyone would believe much of anything that good ole Rick or some of the others on here, has to say about Trump or the shape of the country is in. Local bean prices are a long way north of 12 bucks. Cash corn 4.60. Just not sure when to pull the trigger. Extremely thankful for that little problem. God’s blessings to all of you on here for this Christmas season. 

Honored Advisor

Re: $12 beans, See what you've missing for four years.

I am often reminded that most all brazil pricing is based on the port prices and "the quote" is usually compared to the local markets here...... I always wonder what the cost of delivery is for the "farmer" in the Brazilian interior.

Senior Advisor

Re: You guys are forgetting something.

First, the cost of getting beans to Shanghai from Mato Grosso is just a few bucks more than the interior US, and actually less from Rio Grande du Sul.

Second, Brazil has just opened up a new northern river route from the new land in the western Amazon, as well as upgraded Rte 163.

Third, and more importantly, they grow two crops per year, a crop of beans, and then a crop of corn, how are you going to compete with that?

soybean transport rates US-Brazil.png
0 Kudos