At mid-session:
The March corn futures are 10 cents lower at $6.45 1/4. The March soybean contract is 20 cents lower at $13.84 1/2. The March wheat futures are 2 3/4 cents lower at $8.32 1/2. March soybean meal futures are $5.25 lower per short ton at $375.00. The March soyoil futures $0.84 lower at $56.33.
In the outside markets, the NYMEX crude oil is $1.33 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 49 points.
One trader says, "The Chinese sales Tuesday were following the political "frame" contracts as part of the 11 million tons of new crop referenced by the trade delegation last week when the Chinese premiere was in town. The new sales are a political white wash. An intent to buy only. Remember, China is going to take 22 to 23 million tons of soybeans, so the 11 million tons for new crop was nothing new to the trade. And, the private companies involved sometimes report the frame contracts early as sales. This is nothing we don't already know. Meanwhile, it's been raining in Argentina and the drier areas of Cordoba got some rain last night and more on radar this morning. Scattered precipitation is expected the next couple of days and more predicted for late next week. All has contributed to a back and fill break.
World grains stocks are tight... and prices will be underpinned..there is still a prospect for extreme volatility this Spring... should be tenant of any talk with farmer... if they lock prices in before pollination they should have multiperil and revenue insurance."
Mike
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At the open:
The March corn futures are 9 1/2 cents lower at $6.45 3/4. The March soybean contract opened 13 1/2 cents lower at $13.91. The March wheat futures opened 9 1/4 cents lower at $8.26. March soybean meal futures opened $3.80 lower per short ton at $376.40. The March soyoil futures opened $0.90 lower at $56.30.
In the outside markets, the NYMEX crude oil is $1.15 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 38 points.
Mike
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At 9:25am:
Correction: USDA say the big soybean sale to China today is for 2011-12 delivery not 2010-11.
Mike
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At 8am:
Whoa! USDA announces Tuesday some big China demand:
--Export sales of 2.740 million metric tons of soybeans for delivery to China during the 2011/2012 marketing year; and
--Export sales of 110,000 metric tons of soybeans for delivery to China during the 2011/2012 marketing year; and
--Export sales of 114,000 metric tons of soybeans for delivery to Taiwan during the 2010/2011 marketing year.
Mike
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At 6:45am:
Early calls: Corn down 6-7 cents, soybeans down 10-12 cents, and wheat down 10-12.
Trackers:
Overnight grain markets=Trading lower.
Crude Oil=$1.21 lower.
Dollar=Higher.
Wall Street=Seen opening lower ahead of more corporate earnings reports. The Fed meets today and will decide tomorrow whether to keep key interest rates unchanged.
World Markets=Mixed.
More in a minute,
Mike
