Floor Talk December 21
At the close:
At the close, the March corn futures settled 3¢ lower at $3.47 1/4. January soybean futures finished 1 1/2¢ higher at $10.06 3/4, while March soybean futures closed 1 1/4¢ higher at $10.17. March wheat futures ended 3 3/4¢ lower at $3.99 1/2. January soy meal futures finished $0.70 short ton higher at $309.50. January soy oil futures closed $0.02 higher at 36.04¢ per pound. In the outside markets, the Brent crude oil market is $0.81 per barrel lower, the U.S. dollar is lower, and the Dow Jones Industrials are 17 points lower at 19,956.
At mid-session, the March corn futures are 2 1/4¢ lower at $3.48. January soybean futures are 4 1/2¢ higher at $10.09, while March soybean futures are 4¢ higher at $10.19. March wheat futures are 3/4¢ lower at $4.02 1/4. January soy meal futures are $1.50 short ton higher at $310.30. January soy oil futures are $0.07 higher at 36.13¢ per pound. In the outside markets, the Brent crude oil market is $0.18 per barrel lower, the U.S. dollar is lower, and the Dow Jones Industrials are 16 points lower at 19,957.
Ethanol galore. An all-time weekly ethanol production record announced Wednesday.
According to EIA data analyzed by the Renewable Fuels Association, ethanol production averaged 1.036 million barrels per day (b/d)—or 43.51 million gallons daily. That is down 4,000 b/d from last week’s record high. The four-week average for ethanol production stood at 1.028 million b/d for an annualized rate of 15.76 billion gallons.
Stocks of ethanol stood at 19.1 million barrels. That is a 0.1% decrease from last week.
Did you miss the USDA's 8am announcement? Here it is:
Private exporters reported to the U.S. Department of Agriculture export sales of 132,000 metric tons of soybeans for delivery to China during the 2016/2017 marketing year.
The marketing year for soybeans began Sept. 1.
In early trading, the March corn futures are 3/4¢ lower at $3.49. January soybean futures are 3 3/4¢ higher at $10.09, while March soybean futures are 13 1/2¢ higher at $10.19. March wheat futures are 2 1/2¢ lower at $4.00 3/4. January soy meal futures are $1.30 short ton higher at $310.10. January soy oil futures are $0.11 higher at 36.17¢ per pound. In the outside markets, the Brent crude oil market is $0.14 per barrel higher, the U.S. dollar is lower, and the Dow Jones Industrials are 8 points lower.
Bob Linneman, Kluis Commodities, says the soybean market now faces fundamental and technical pressure.
“As the long holiday weekend approaches, will fund managers want to risk holding long soybean positions now that the chart has turned bearish,” Linneman stated in a daily letter to customers Wednesday.
Soybeans were higher in overnight trading as bargain hunters come rushing back after yesterday's 16 cent drop. Corn was unchanged overnight. BMO Capital Markets put out a report yesterday saying demand for US crops, which has been extremely strong this season, likely would be stronger if not for the strengthened dollar. Not a big surprise but the report shows that the week Canadian currency is keeping prices up north of the border.
Here's what happened overnight:
Brent Crude Oil = 0.5% higher.
West Texas Intermediate Crude Oil = 0.4% higher.
Dollar = down 0.4%.
Wall Street = U.S. stock futures mixed in overnight trading.
World Markets = Global stocks lower amid banks' decline.
Re: Floor Talk December 21
I'd like to hear reader's idea on the likely strenght of the dollar for the next few months. Anything on the horizon to cause a real concern about a big change one way or the other? I'm talking probably or highly possible things, not thermo-nuclear war or a comet striking the earth.