Sept 15, 2017
Grain Marketing Specialist
Corn: 1-2 Lower
Corn market traded 3 higher yesterday as some chatter on lower yields in SA. We also saw the Sept contract expire yesterday at $3.41 ¾. Could we see Dec contract go there? Support is still around 3.50 than 3.44. We did trade lower on the overnight by a penny. hearing scattered harvest from NE to IN and many points in between…overall good yields with expected variability. weekly export sales report showed 2017/18 corn export sales hit 1.0467 million metric tons last week vs estimates of 0.8-1.1 million metric tons. Current spreads: Z/H 12.5 ¢ carry, H/K 8.25 ¢ carry, Z/N 27.25 ¢ carry.
Soybeans: 3-5 Lower
Meal lead the way yesterday as it ran up $8, which in turn pushed beans 15 higher. We did fall on the overnight session down 3 on most contracts. SU expired at $9.67 ¼, will Nov contract slip to that level?? scattered harvest across the US…yields get compared to last year. And if you look at what they say last year’s yield was. Weekly export sales for soybeans came in at 1.6124 million metric tons, above average trade estimates of 1.0-1.3mmt. Just over 1.2 million metric tons were sales to China. The USDA reported an export sale of 198,000 soybeans to china for delivery in the 2017/18 crop year. Current spreads: X/F 10 ¢ carry, X/H 17.5 ¢ carry, H/K 8.25 ¢ carry, X/N 32.75 ¢ carry
Wheat: KC: 1-2 Lower HRS: 5 Lower
The wheat markets spent much the day trade session higher on technical buying but turned lower at the close as ample world supplies keep the markets in check. HRS continued to erode on the overnight session as we saw Dec fall 6, but KC was unchanged. Producer selling in the US plains is slow as the focus remains on corn and beans. Producers are beginning to plant the 2018 HRW crop and are seeing welcomed rains in parts of the southern plains. According to a private Canadian analyst, as harvest progresses north, Canadian spring wheat yields are coming in better and better. Quality has also been decent, which indicates that there could be plenty of spring wheat around, and thus lower Minneapolis futures may be ahead. Weekly export sales for wheat came in below expectations at 316,700 metric tons vs trade estimates of 350,000-550,000 metric tons. This was down 16 percent from the previous week and 34 percent from the prior 4 week average.