Floor Talk February 7
At the close:
At the close, the March corn futures finished 4 3/4¢ higher at $3.68 1/2, and new crop December 2017 futures finished 4 1/4¢ higher at $3.96 1/4 per bushel. March soybean futures finished 6 3/4¢ higher at $10.42 3/4, while November 2017 soybean futures closed 2 1/2¢ higher at $10.19 1/2. March wheat futures closed 8 1/4¢ higher at $4.30 3/4. March soy meal futures closed $3.10 short ton higher at $335.90. March soy oil futures closed $0.14 lower at 34.30¢ per pound. In the outside markets, the Brent crude oil market is $0.86 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 37 points higher, reaching a new record-high, along with the NASDAQ.
Jack Scoville, The PRICE Futures Group’s Senior Market Analyst, says that it has been mostly a slow day without much news.
“Most are bearish the soybeans with the Brazil crop coming on, but not hearing much about corn or wheat,” Scoville says.
The Japan sale is noted in corn, nothing going on for wheat.
“I think there is some Trump nerves, in the market, to account for some of the lack of volume. People are also waiting for the WASDE and the way the market acts we should get increased export demand in all of the markets and increased ethanol demand in corn,” Scoville says.
Scoville adds, “Usually this is a nothing report, so those changes would be noteworthy. USDA can kick the export demand down the road a month or two, but the buying has been there and the grain is getting shipped. So, changes will be coming if not this month then soon.”
At mid-session, the March corn futures are 1¢ higher at $3.64, and new crop December 2017 futures are 1¢ higher at $3.93 per bushel. March soybean futures are 2 1/4¢ higher at $10.38, while November 2017 soybean futures are 3/4¢ higher at $10.17. March wheat futures are 2 1/2¢ higher at $4.25. March soy meal futures are $2.30 short ton higher at $335.10. March soy oil futures are $0.32 lower at 34.12¢ per pound. In the outside markets, the Brent crude oil market is $0.99 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 56 points higher.
In early trading:
At 9am, the March corn futures are 3/4¢ higher at $3.64 1/2, and new crop December 2017 futures are 1/2¢ higher at $3.92 per bushel. March soybean futures are 2 1/4¢ higher at $10.38, while November 2017 soybean futures are 1/4¢ higher at $10.17. March wheat futures are 1 1/4¢ higher at $4.31. March soy meal futures are $3.20 short ton higher at $334.80. March soy oil futures are $0.28 higher at 34.14¢ per pound. In the outside markets, the Brent crude oil market is $0.78 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 80 points higher.
Wheat futures were modestly lower in overnight trading as weather forecasters showed that extremely cold weather missed the majority of the southern Plains, reducing concerns about winterkill. Wheat was down from 1 to 2 cents, corn was off by a tick and beans were a penny lower overnight. Export inspections of corn, soybeans and wheat were strong last week, following up on the strong sales we saw earlier this year.
Here's what happened overnight:
Brent Crude Oil = 0.4% lower.
West Texas Intermediate Crude Oil = 0.4% lower.
Dollar = up 0.6%.
Wall Street = U.S. stock futures higher in pre-market trading.
World Markets = Global stocks higher as some geopolitical risks quiet.
Ray J.'s comment
What do your sources say about Ray J.'s comments on Mexico? :
One of the respected guys I follow believes that farmers have sold 70-75% of the old crop beans and 50-55% of the old crop corn....
he thinks that means the bean rallies may have more substance to them since the amount of beans that can be sourced is shrinking over time........still have a ways to go to get the corn market in similar shape....
I think this Thursday's WASDE report is important......if the excellent export pace translates into smaller carryouts in the US, maybe we can get through Februrary without the usual big crop meltdown.....and that, in turn, would help crerate better crop insurance levels..
if looking for some good news, it may come in the fact that Trump is pressuring the countries which have big trade surpluses with us to shrink those by buying more US product....ie; food and grain could be at the top of those lists
in the current situation, it truly is one day at a time since so many things can, and are likely, to change going forward
Re: Ray J.'s comment
Well they don`t want to tip their hand at how badly they really need us...but they need us and price is king, all the macho stuff goes out the window. If we have the cheapest grain and they are boxed in a corner to buy more from us, rather than buying pink flamingoes, they`ll buy something they need and can use..grain and meat.
And I think the Dollar might come down, putting all our exports on the clearance rack.
Re: Ray J.'s comment
I agree with Ray. Foreign countries that want to trade with the "new" sane USA will buy the best bargains to try to get their balance of trade in order, and right now grains are on sale.
Should be good times ahead.
Re: Ray J.'s comment
Mike contradict the foolish Scoville.....
Beans have been trending higher for three months now.......
Corn has also been grinding on an upward move since harvest lows.....
What does it take to actually look at ....... or chart the markets.