Floor Talk March 14

[Tony_Dreibus]

At the close:

At the close, the May corn futures settled 3¢ lower at $3.88 3/4. July futures ended 3¢ lower at $3.96 3/4. May soybean futures finished 16 1/2¢ lower at $10.32 3/4.  July soybean futures closed 16 1/2¢ lower at $10.43. May wheat futures ended 2 1/4¢ higher at $4.88 3/4. May soy meal futures closed $4.60 per short ton lower at $370.90. January soy oil futures finished 0.51 lower at 31.71¢ per pound.  In the outside markets, the NYMEX crude oil market is $0.16 higher, the U.S. dollar is higher, and the Dow Jones Industrials are 147 points lower.

Jason Ward, Northstar Commodity Managing Director, says
“Weakness in the soybean market is driven by the best rain chance in quite some time today for Argentina, and then another chance Saturday,” Ward says.
He adds, “A little more pressure, on soybeans, as a result of the recently released Allendale Survey suggesting over 92 million 2018 U.S. soybean acres.”
 
“Overall, the weaker markets are a result of weather, mainly, in my view, and some profit taking by swelling length in corn/soy spread,” Ward says.

Mike

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At mid-session:

At mid-session, the May corn futures are 1 1/4¢ lower at $3.90. July futures are 1 1/4¢ lower at $3.98. May soybean futures are 6 1/2¢ lower at $10.42.  July soybean futures are 6 1/2¢ lower at $10.53. May wheat futures are 1 1/4¢ lower at $4.85. May soy meal futures are $2.10 per short ton lower at $373.40. January soy oil futures are 0.20 lower at 32.02¢ per pound.  In the outside markets, the NYMEX crude oil market is $0.22 lower, the U.S. dollar is higher, and the Dow Jones Industrials are 335 points lower.

Mike

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At 9:35am:

In early trading, the May corn futures are 1/4¢ higher at $3.92. July futures are 1/2¢ higher at $4.00. May soybean futures are 1 1/2¢ lower at $10.47.  July soybean futures are 1 3/4¢ lower at $10.57. May wheat futures are 1/4¢ lower at $4.86. May soy meal futures are $0.50 per short ton higher at $376.00. January soy oil futures are 0.08 lower at 32.14¢ per pound.  In the outside markets, the NYMEX crude oil market is $0.18 higher, the U.S. dollar is higher, and the Dow Jones Industrials are 61 points lower.

Mike

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Wheat futures turned lower overnight despite ongoing drought in the southern Plains. It seems traders need ongoing bullish news to keep boosting prices, but fundamentally, nothing has changed -- hard-red winter wheat farmers are in some trouble as southwestern Kansas, western Oklahoma and the Texas panhandle have seen little or zero rain in the past six months or so. Wheat was down about 2 cents, corn was down less than a penny and soybeans were up 2 cents. In other news, farm groups are backing a proposal from the House Ways and Means Committee to fix the 199A provision of the new tax code that inadvertently gave growers are bigger tax incentive to sell to their coop versus others. Finally, in weather news it's warm and dry and windy in the southern Plains where conditions are perfect for wildfires, according to the National Weather Service. Check out all the details in today's 3 Big Things at https://www.agriculture.com/news/three-big-things/3-big-things-today-march-14.

Brent Crude Oil = up 0.5%.

West Texas Intermediate = up 0.8%.

Dollar = up 0.1%

Wall Street = U.S. stock futures higher in pre-market trading.

World Markets = Global stocks higher overnight.