October 18, 2012
Grain Marketing Specialist
As of 7:30am Dec. 3 higher. Dec ’13 unchanged to a penny higher.
Corn values continuing to show modest strength with talk of fund liquidation now behind us. Informa will estimate new crop 2013 projected acres on Friday. Some ideas out now have corn at 97.5 million acres. This report will reemphasize what would be a potentially bearish US corn satiation baring any weather issues. Ethanol production margins still negative with some plants debating whether or not to shut down. China continues to report a 200+ mmt corn crop, which is higher than the USDA has projected. Technically speaking we are still bearish with corn hovering around $7.45
As of 7:30am Nov. 16 higher. Nov ’13. 11 higher.
Soybean values also rebounded after some farmer selling and renewed Chinese buying interest yesterday. Are investors back to levels that would continue to renew buying interest and turn this market around? Trade is looking to see better weekly exports. Ideas for soybeans, new crop 2013, at 78 million acres. The report will refocus trade attitude on the potential to dramatically change US soybean stocks for 2013-2014. Trade debating whether or not soybean stocks will improve in the Nov’12 report. Still US grain stocks at multi year lows come spring. Soybeans are bearish and holding around that $15 dollar area.
As of 7:30am Spr. Wheat 5 higher. Win. Wheat 5 higher
Wheat values following row crops. Informa estimation is 57 million acres of wheat. Ukraine wheat crop seen in better shape than last year rated 90% good from last year. Better conditions also reported in Russia. Wheat continuing to follow corn.