Morning Comments December 16, 2016

Only 9 days till Christmas.  Is your home full of stress or joy?  Plan to give away many smiles in the next few days.  We can all afford to give bunches of smiles.  In addition, we probably will receive one back.  Wishing all of you a very joyous holiday season.


The biggest news followed by the market yesterday was the strength in the U.S. dollar.  Yesterday the dollar was up 136 points to close at 103.12.  This morning the dollar is trading at 103.10 so basically unchanged.  Normally when the dollar is this strong there is a pullback in exports, that is not happening now because the U.S. has the main current supply of corn and beans.  As the South American crop starts coming on they will be fierce competition for exports with the value of the dollar this high.


Seeing some reports this morning that traders may have a slow day waiting to see how rains progress in Argentina.  There are areas of Argentina that are dry.  Low rainfall could spur market back higher within their established trading ranges.  This may be a short term opportunity to reward the market with some sales.  Brazil does not seem to have the same weather issues so above average crops are the expectation.


Keep in contact with your grain marketing advisor.  Remember there is one week left to enroll bushels in the Insight programs.   Pat Griffin