February 19, 2014
Grain Marketing Specialist
Corn - Unchanged
Corn traded through and closed above nearby resistance yesterday, closing at $4.4950 CH14. Funds are buyers as of late, working on unwinding their short position before spring. December 14 futures continue to rally alongside old crop. We settled yesterday at $4.6375 CZ14, a price not seen since December 12th last year. Be sure to have targets in place to capture any movement on the board, we are currently a nickel away from $4 cash NC corn at most Wheat Grower locations!
Soybeans - Unchanged
Beans were pushed higher yesterday on hot and dry conditions in Brazil. Production estimates for Brazilian beans now coming in at less than 90 mmt. Export inspections were very good yesterday at 54 mln bushels compared to the 8.5 mln bushels needed weekly to reach the USDA estimate. NOPA crush was in line with expectations at 156 mln bushel, average trade guess was 162 mln bushel.
Wheat - 3 higher
Wheat was a follower in the bean rally yesterday, now up 60 cents from our Jan 31 lows. Weekly export inspections came in below the average trade guess at 9.8 mln bushels, well below the 20.1 mln bushels needed weekly to reach the current UDSA estimate. The extended forecast looks to be significantly colder over much of the Winter wheat growing areas, fueling the concern of wheat winter-kill. Texas winter wheat crop slips to 44% rated poor/very poor versus 41% a week ago.