After the close:
USDA Crop Progress basically shows that these crops are right where they should be in emergence and condition. This is bearish for the markets. For instance, corn is 85% emerged vs. 80% 5-yr avg, 76% good/excellent vs. 70% 5-yr average. For soybeans, 74% planted vs. 75% five-year avg., and 46% emerged vs. 44% five-year avg.
Also, wheat hit a contract low at $4.99 3/4 and July corn hit a five-week low at $3.53.
Mike
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At the close:
The July corn futures closed 5 cents lower at $3.54. The July soybean futures contract settled 5 3/4 cents lower at $9.32 per bushel. The July wheat futures closed 7 cents lower at $4.50 3/4. July soybean meal futures ended $4.10 lower at $269.40 per short ton. The July soyoil futures closed 9 points lower at $37.52.
In the outside markets, the NYMEX crude oil is $1.55 per barrel lower, the dollar is higher, and the Dow Jones Industrials are up 9 points.
One trader says the markets saw some follow-through from Friday's close. For instance, on the close, another 2,800 corn contracts were sold by the funds. That is on top of what was sold Friday. So, there is not much money being added, but instead there are more redemptions.
Note: Corn dropped to a five-week low today when it hit $3.53. Also, Darrel Good of the Univ. of Ill. says U.S. corn exports need to average 40 million bushels/week for the next 13 weeks to reach the USDA 2010 marketing year target of 1.9 billion bushels. The average has been around 34 million bushels. Do you think we can do it? What say you?
Mike
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At 12-Noon:
Corn -1 3/4, soybeans -3 3/4, and wheat -2 1/4. The floor is very quiet. One trader says the weather is bearish. If China doesn't prove to be a catalyst, this week's market could be a weak one.
Mike
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At mid-session:
The July corn futures are 3 1/4 cents lower at $3.55 3/4. The July soybean futures contract is 4 3/4 cents lower at $9.33 per bushel. The July wheat futures are 5 3/4 cents lower at $4.52. July soybean meal futures are $2.60 lower at $270.90 per short ton. The July soyoil futures are 2 points lower at $37.59.
In the outside markets, the NYMEX crude oil is $0.57 per barrel lower, the dollar is lower, and the Dow Jones Industrials are down 1 point.
Mike
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At 10:15am:
corn -2, soybeans up 1/4 of a cent higher, wheat -5 3/4.
With the outside markets reversing before the open, the grains gained some strength, but remain mostly lower. Plus, the nearly ideal weather is pressuring any rally, one trader says. Overall, what traders are learning this morning is that even though this market may not break, it's going to struggle to rally with the mostly perfect crop-weather.
Mike
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At the open:
At the open, the July corn futures opened 1 cent lower at $3.58, Dec. is down 1 1/4 cents at $3.78 3/4. The July soybean futures contract opened 1 3/4 cents lower at $9.36 per bushel, Nov. down 1 3/4 cents at $9.06. The July wheat futures opened 3 1/4 cents lower at $4.54 1/2. July soybean meal futures opened $1.50 lower at $272.00 per short ton. The July soyoil futures opened 18 points higher at $37.79.
In the outside markets, the NYMEX crude oil is $1.05 per barrel higher, the dollar is lower, and the Dow Jones Industrials are up 59 points.
Mike
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At 6:55am:
Early calls: Corn down 3-5 cents, soybeans down 4-6 cents, and wheat down 4-6 cents.
Today, watch for the USDA Crop Progress Report. The trade expects corn to be rated 73-74% good to excellent with a first soybean rating of 65-67% good/excellent.The report is released at 3pm cst.
Trackers:
Overnight grain=Trading lower.
Crude oil=Trading $1.68 per barrel lower.
U.S. Dollar=Trading higher.
World Markets=Lower.
Wall Street=Seen opening lower as the world economic recovery doubts rule the day. Developed countries are facing anaemic growth for years to come, economists say. Plus, Euro banks face billions of dollars of additional writedowns.
Mike
