Floor Talk October 7
The Dec. corn futures contract is trading 3 cents higher at $4.46. The Nov. soybean futures contract is trading 3 cents lower at $12.92. Dec. wheat futures are 8cents higher at $6.94 per bushel. The Dec. soymeal futures is trading $0.40 per short ton higher at $418.80. The Dec. soyoil futures are trading $0.32 lower at $39.92.
In the outside markets, the NYMEX crude oil is $0.66 per barrel lower, the dollar is higher and the Dow Jones Industrials are 78 points lower.
One analyst says, "With the lack of USDA guidance we are trading the ongoing yield reports and outside markets. Yield reports continue to be favorable for corn and decent for soybeans. Wheat seems to be supporting the corn market on more export rumors. Also, i'm sure you saw but SovEcon is estimating lower Russian planted hectares which is also helping wheat/corn prices. We still think corn is overvalued at current levels due to the large carryout expected in the US."
Wheat is being supported by demand from Brazil. Corn is supported by harvest delay, due to rain in the Midwest. plus, it is following wheat higher.
Meanwhile, there will be no USDA Crop Progress Report today, due to the government shutdown. Also, it's questionable the Friday October Crop Production Report will be released. So, no indication of demand. It looks like the world buyers can be active and not have anyone know about it.
You wonder just how this market will get along, with no news to trade?
In early trading:
The Dec. corn futures contract is trading 2 cents higher at $4.44. The Nov. soybean futures contract is trading 3 cents lower at $12.91. Dec. wheat futures are 5cents higher at $6.92 per bushel. The Dec. soymeal futures is trading $0.80 per short ton lower at $417.60. The Dec. soyoil futures are trading $0.16 lower at $40.08.
In the outside markets, the NYMEX crude oil is $1.66 per barrel lower, the dollar is higher and the Dow Jones Industrials are 79 points lower.
At 6:55 am:
Early calls: Corn is seen 1-2 cents lower, soybeans 2-4 cents lower, and wheat 2-4cents higher.
Overnight grain, soybean markets=Trading mostly lower.
Crude Oil=$1.05 per barrel lower.
Wall Street=Seen trading lower, as the U.S. government shutdown hits day seven. Congress failed to meet a budget agreement deadline.
World Markets=Asia/Pacific stocks were lower, Europe stocks lower.
More in a minute,
Re: Floor Talk October 7
Thanks for all the updates Marketeye! Looks like snow, sleet, hail, rain, and tornados makes grain? The crop gets bigger and the prices continue to slide!
In my neck of the fields its setting up for Typhoon Tuesday. Sustained 80 knot winds and gusts to 100 knots predicted. Rice harvest is just getting going good here so this cannot be fun for the farmers. Will try to get harvest pics in next week, been layed up with pneunomia for the past 10 days or so, doing better now after a stern warning from Doc to slow down a bit. Sure want to get you some harvest pics from over here.
Meanwhile here is the Typhoon track, the northeast quadrant is the most severe so not good for us in the Sasebo area if this prediction becomes accurate:
All preps have been made, down to storing the community BBQ grill inside my local evening establishment and making sure the package store did not have too many alcoholic beverages for the young guns to take home.
Time to get a little rest before the real fun starts!!
Re: Floor Talk October 7
Informa Economics has new reports about the season crops. According to Informa, the US will produce 3.1 billion bushels this year, while Brazil would produce 86.4 million tons. The projections for corn are that the United States will have an output of 14.01 billion bushels (The USDA said it would be 13.8 billion bushels), while Brazill would have 71.1 million tons (the USDA projected 72 million tons).
So what do you guys think?