Floor Talk June 29, 2020
In early trading, the July corn futures are 3 3/4¢ higher at $3.20 3/4. Dec. corn futures are 3 1/4¢ higher at $3.28.
Aug. soybean futures are unchanged at $8.60. November soybean futures are 1/4¢ lower at $8.61.
Sep. wheat futures are 2 1/4¢ higher at $4.78.
Aug. soymeal futures are $0.10 per short ton higher at $285.40. Aug. soy oil futures are $0.14 lower at 27.27¢ per pound.
In the outside markets, the NYMEX crude oil market is $0.26 per barrel higher at $38.75. The U.S. dollar is lower, and the Dow Jones Industrials are 119 points higher.
Al Kluis, Kluis Advisors, says that investors will be watching two separate USDA reports this week, for price direction.
"The spike in COVID-19 cases in the U.S. is a big concern for markets throughout the world. The pandemic is destroying consumer confidence, making many investors go to the sidelines, and reducing consumer demand," Kluis told customers in a daily note.
Kluis added, "The USDA Crop Progress report today will show corn and soybean conditions about steady. Some areas like southwest Iowa, Nebraska, Kanas and Indiana are going down, while most of the central Corn Belt--especially Illinois--is improving. The current high rating suggests that the US corn and soybean crops have trendline or better yield potential. Watch the projections on US corn and soybean acres in tomorrow's 'Acreage' report. The total acres in the March 'Prospective Plantings' report was 180.5 million acres. I think the total combined corn and soybean acres in the Tuesday report may be less than that."
What say you?