At the close:
At the close, the Sep. corn futures finished 5 3/4¢ lower at $4.35 1/4. Dec. corn futures finished 5 3/4¢ lower at $4.41 1/4.
Aug. soybean futures finished 14¢ lower at $8.87 3/4. November soybean futures ended 14¢ lower at $9.06.
Sep. wheat futures closed 1/4¢ lower at $5.07 1/2.
August soymeal futures settled $3.20 per short ton lower at $308.40.
August soy oil futures closed $0.29 lower at 27.99¢ per pound.
In the outside markets, the NYMEX crude oil market is $2.13 lower, the U.S. dollar is higher, and the Dow Jones Industrials are 27 points lower.
Jack Scoville, PRICE Futures Group, says that investors are leaning on this week’s reports for guidance.
“It’s been a lower volume day, with the selling, I guess, coming from the funds,” Scoville says.
Scoville adds, “The crop condition ratings, Monday, for corn and beans ticked up and we were expecting lower. The weather, this morning, indicated some showers and storms for SW Iowa and southern Nebraska that caught people expecting hot and dusty everywhere today. It will get hot now into the weekend, but it is supposed to warm up this week before cooling down again next week. We might chop around for the rest of this week, until we got a better handle on the weather,” Scoville says.
Britt O'Connell, Cash Advisor for Commodity Risk Management Group, says that USDA data and weather forecasts have been driving these markets for weeks.
“A couple of weeks ago we started to see buyers step into the market after the dramatic drop post Quarterly Stocks report and acreage report and on the heels of a hotter and drier forecast headed into the pollination window. Traders took this market higher and ahead of the WASDE last week took a risk off mood - afraid to have a position on given the USDA's last report 'stunt’,” O’Connell says.
She added, “After the WASDE proved to be somewhat benign, buyers immediately stepped in and took this market up against the $4.60 technical resistance, on Friday, and started to take some profit. Hot and dry weather continues to persist in the forecast and will likely hold this market together and invite further buying. Today, we ran up against $4.30 support and we managed to close 5 cents off of that,” O’Connell says.
Mike
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At midsession:
At midsession, the Sep. corn futures are 7 1/4¢ lower at $4.33. Dec. corn futures are 7 1/4¢ lower at $4.39 1/4.
Aug. soybean futures are 11 3/4¢ lower at $8.90 3/4. November soybean futures are 12 1/2¢ lower at $9.07.
Sep. wheat futures are 2¢ lower at $5.05 3/4.
August soymeal futures are $3.30 per short ton lower at $308.30.
August soy oil futures are $0.19 lower at 28.09¢ per pound.
In the outside markets, the NYMEX crude oil market is $0.03 higher, the U.S. dollar is higher, and the Dow Jones Industrials are 5 points higher.
Mike
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At 9:00am:
In early trading, the Sep. corn futures are 8 1/4¢ lower at $4.32. Dec. corn futures are 8 1/4¢ lower at $4.38 1/4.
Aug. soybean futures are 13 1/2¢ lower at $8.88 3/4. November soybean futures are 14 1/2¢ lower at $9.06.
Sep. wheat futures are 5 1/4¢ lower at $5.02.
August soymeal futures are $4.10 per short ton lower at $307.50.
August soy oil futures are $0.20 lower at 28.08¢ per pound.
In the outside markets, the NYMEX crude oil market is unchanged, the U.S. dollar is higher, and the Dow Jones Industrials are 2 points lower.
Al Kluis, Kluis Advisors, says that investors will largely be watching how widespread the hot and sticky weather will cause crop ratings to drop.
“The GFS weather model on Monday changed to show less heat and for only 5 days in about 30% of the central Corn Belt,” Kluis told customers in a daily note.
Kluis added, “The U.S. soybean crop is in more trouble than the U.S. corn crop. In its weekly Crop Progress Report, Monday, the USDA noted that the U.S. corn crop conditions improved by 1% with 58% rated good to excellent, soybean ratings were also increased by 1% to 54% good to excellent ratings. Five percent (4 million acres) of soybeans have not yet emerged.”
Mike
