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Tony_Dreibus
Veteran Contributor

Floor Talk September 21

At the close:

At the close, the Dec. corn futures settled 1/¢ higher at $3.50 1/4, while March futures finished 1/2¢ higher at $3.63. Nov. soybean futures closed 3/4¢ higher at $9.70 3/4, Jan. soybean futures settled 1/2¢ higher $9.81. September wheat futures ended 2 3/4¢ higher at $4.52 1/2. Dec. soy meal futures settled $2.80 per short ton higher at $312.90. Dec. soy oil futures closed $0.57 lower at 34.34¢ per pound.  In the outside markets, the Brent crude oil market is $0.14 lower, the U.S. dollar is lower, and the Dow Jones Industrials are 35 points lower.

 

Mike

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At mid-session:

At mid-session, the Dec. corn futures are 1/2¢ lower at $3.49, while March futures are unchanged at $3.62. Nov. soybean futures are 1 1/2¢ higher at $9.71, Jan. soybean futures are 1 1/2¢ higher $9.82. September wheat futures are 2 1/2¢ higher at $4.52. Dec. soy meal futures are $2.80 per short ton higher at $312.90. Dec. soy oil futures are $0.45 lower at 34.46¢ per pound.  In the outside markets, the Brent crude oil market is $0.09 lower, the U.S. dollar is lower, and the Dow Jones Industrials are 36 points lower.

 

Mike

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At 9:45am:

If you missed it, the Weekly Export Sales Report released Thursday shows soybean sales beat, corn missed, and wheat came within trade expectations.

 

Corn= 526,900 metric tons vs. the trade’s expectations of between 550,000-1,100,000 mt.

Soybeans= 2.33 mt. vs. the trade’s expectations of between 1,000,000-1,600,000 mt.

Wheat= 307,200 mt. vs. the trade’s expectations of between 150,000-450,000 metric tons.

Soybean meal= 172,400 mt. vs. the trade’s expectations of between 75,000-250,000 metric tons.  

 

Separetly, the USDA announced private exporters reported to the U.S. Department of Agriculture export sales of 132,000 metric tons of soybeans for delivery to China during the 2017/2018 marketing year.
The marketing year for soybeans began Sept. 1.

 

Mike

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At 9:15am:

In early trading , the Dec. corn futures are 1¢ lower at $3.49, while March futures are 3/4¢ lower at $3.61. Nov. soybean futures are 5¢ higher at $9.65, Jan. soybean futures are 5 1/2¢ lower $9.75. September wheat futures are 3 3/4¢ lower at $4.46. Dec. soy meal futures are $0.50 per short ton higher at $310.60. Dec. soy oil futures are $0.47 lower at 34.40¢ per pound.  In the outside markets, the Brent crude oil market is $0.09 lower, the U.S. dollar is lower, and the Dow Jones Industrials are 31 points lower.

 

Mike

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Soybeans were lower in overnight trading, mostly on technicals rather than fundamentals as the latter haven't changed at all. Futures met the 100- and 200-day moving averages and fell back, but strong demand and worries about yields may push prices higher. If they can top those key technical points, then they may move higher, analysts said. Beans lost about 5 cents, while corn and wheat were both down about a penny. Cargill's chief executive said yesterday in New York that 10% of its $110 billion in revenue are linked to NAFTA and ending the pact would be a bad idea not only for the company but for the ag industry as a whole, reiterating what Ag Secretary Sonny Perdue said last month. In weather news, it looks like parts of the northern Midwest will get some rain, and Puerto Rico is waking up to destruction caused by Hurricane Maria yesterday. The storm is moving north and isn't on track to hit the US mainland. Check out all the details in today's 3 Big Things at http://www.agriculture.com/news/three-big-things/3-big-things-today-september-21.

 

Here's what happened overnight:

 

Brent Crude Oil = down 0.8%

West Texas Intermediate = down 1.1%

Dollar = down 0.1%.

Wall Street = U.S. stock futures lower in pre-bell trading.

World Markets = Global stocks mixed after US Fed leaves rate hike on table. 

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3 Replies
elcheapo
Veteran Advisor

Re: Floor Talk September 21

 I think the "market" missed the news about soybeans...again.......how we were above exports

expectations ?

 

oh, and the 8th largest soybean sale in history this week.........

 

the question......just what does it take to get a significant raise in the market ?  this nickle and dime stuff just doesn't cut it,

but for them, having a couple contracts make you $500 a day.......that isn't too bad for a days work.....but what about

us ?   to get that $500, cost us maybe half a million in assets......with this "bunch", what do they have to loose ?

 

something just isn't right.........had a person at a meeting that used to work for a BIG food company......they were never

worried about "materials" cost......(read grains).......they were more concerned about transportation, labor and

other things.  They figured that material costs could go up 50%, and have little if any impact on the bottom line.

 

we are no longer a market.....a market has a buyer and seller, and a price is "discovered", and the whole bases was

"supply and demand"........today the fundmentals have no impact, until we realize there is none left or we have way too 

much.

 

someone needs to ask a well known economist what happens when a market is no longer based on supply and demand.

 

when we have reports from posters from iowa that think the soybeans will be bb's, and sw is putting gas in the straight truck

and taking it to the soybean field, rather than putting diesel in the semi and taking it to the field......to hurricane damage

to the southern crop....

 

how oh how oh how does the usda say even more beans !!!!

 

now the question is, don't the traders question usda ??  what do they do when they discover usda is wrong, just stand there and

smile and act like there isn't a problem, even tho it does against their positions......do we smile, and quietly get out and

slowly go long ?

 

kind of like a fellow standing behind a counter,,,,,,,,they are all calm and collected on top, but you look behind the

counter, their feet are going in all directions.

 

 

 

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roarintiger1
Honored Advisor

Re: Floor Talk September 21

Well,    the supply is there................until it isn't.      If reality ever sets in, this thing will be explosive.    

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Hobbyfarmer
Honored Advisor

Re: Floor Talk September 21

Well so far reality has set in and some of us are in a state of denial.

 

The supply is out there and seems to be readily available.

 

The equivalent of a two hundred and fifty mile long train load of beans  was sold in the last week and...the markets yawned.

 

Growers are sitting in line to give the crop to them, Bunge west has a great deal for them...for only a quarter of a dollar dump fee and a nickel a month you can use their storage. Of course you also give them title to the grain. 

 

Sure beats making them bid up for those same bushels.....

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