May 22, 2013
Producer Marketing Manager
Corn: As of 7:45 - July Down 2, Dec Up 3
Old crop corn was under pressure yesterday, trading $0.10 lower. Decent ethanol and poultry margins has some end users looking to get some corn coverage on and we are seeing some basis strength. Weekly ethanol production and stocks will be out this morning and expect them to continue to be strong (850-860k barrels/day). New Crop values traded back to unchanged yesterday. Below is the Dec corn chart…..will we find good support at the old June 2012 low of $5.11?
Soybeans: As of 7:45 - July Down 3, Nov Up 2
Processor basis bids have rolled to the August futures and continued to break hard. Cash bids now down 50 cents or more from the end of last week. Farmer selling has picked up recently which has helped push the basis lower. Private analysts said to be boosting expected U.S. soybean imports to 10 above USDA, at 30 mbu.
Wheat: As of 7:45 - Mpls Steady, KC Up 3
Wheat ended lower Tuesday on some spillover pressure from a weaker corn market and more favorable weather hitting the Southern Plains. USDA has ND at 50% planted of the 6 million acres expected to be seeded – will the weather pattern allow that to happen in a timely manner? Looks wet yet for the northern plains into next week.