March 5, 2015
Producer Marketing Manager
BRRRR…….Hopefully this is the last morning of subzero temps for months! Single digit readings plunging into southern KS this am.
CORN: As of 7:45 – Steady
Quiet trade overnight as we nuzzled around in a 2 cent range. The EIA ethanol report came out with a lower than expected run rate of 931,000 barrels per day. This is down from last week’s rate of 947 as a result of a few plants taking some maintenance down time. Export sales this morning were in the middle of the expected range at 32.6 million bushels (28-39).
SOYBEANS: As of 7:45 – Up 3
Weaker again yesterday as harvest rolls in Brazil and signs that their shipping abilities are improving. Matto Grasso harvest is around 60% done, exceeding average pace while Parana is at 36%, lagging normal. Overall harvest is down there is just behind average pace at 30% vs. 34%. Old crop soybean experts were toward the top end of the range at 18.4 million bushels (11-18).
WHEAT: As of 7:45 – Steady to Up 1
Wheat futures was a follower of corn and soybeans lower yesterday, with additional influence of a sharply higher USD dollar and general pessimism over US wheat demand. Ukrainian government raised interest rates yesterday from 19.5% to 30% making financing of inputs more difficult for producers. Less than ½ of the Ukrainian winter crop is said to be in good condition. What will their exports do from here on out? Export sales this morning were neutral as we ended up in the middle of the range for all wheat at 17.3 (13-20)