Comments December 19, 2016

Hope everyone is staying warm!

 

Grains are lower this morning with corn down 2 and beans 9-10 lower.  We continue to see the strong U.S. dollar put pressure on commodities, as it is trading higher once again this morning.  Demand is stronger than ever, with U.S. corn export inspections being at the highest levels since 2007.  Even though we have record U.S. corn production numbers, this strong demand news seems to be keeping the corn market and prices supported.  Technically, corn continues to trade in a sideways pattern between $3.40-3.70/bu on the March contract.

 

Traders are still watching South American weather very closely.  Precipitation remains in the forecast for Brazil and Argentina.  U.S. bean acres are also being closely watched, with USDA’s first estimate being around 90 million acres planted.  Still talk of more bean acres for a lot of the cornbelt.  This could be positive news for our soybeans if we start getting more buzz about some numbers.  If the weather does cooperate in SA, bean production there will exceed last year by 4-5 MMTs.

 

Not much for “new” news this morning, as we are watching the same variables and seasonal patterns.  I’m in Ralston on the trade floor today, give us a call at 877-778-2226 to chat about markets.  Landus Cooperative is now enrolling bushels in the Insight program.  Old crop, new crop of 2017, and new crop of 2018 bushels are all eligible.  Contact us to learn more!  Have a great Monday!