Corn: Steady to 1 higher
Beans: 4 to 5 higher
Markets will be closed Sunday evening and Monday for the Labor Day holiday. Trading in the grain markets will resume Monday evening at 7:00 pm.
The weekly export sales data did not have much market effect yesterday. New crop corn sales were decent at 859,000 mt (expectations were 350-800,000 mt) while old crop sales were small, net cancellation of 2,600 mt vs. expectations of 50-250,000 mt. The corn market is trading higher this morning with the weather forecast calling for cooler temperatures next week. While there are no frost warnings, we would expect the market to put a little weather premium into the price ahead of the 3-day weekend. Both the momentum and trend indicators have turned higher and that may be bringing in some technical buying as well.
The soybean market closed higher yesterday supported by concerns about cool weather next week. There are no frost concerns at this time, but this late crop needs all the heat it can get and a cool period that retards growth is not helpful. The export sales report was a non-event, but the U.S./China trade tensions have eased a bit and that has the potential to be a bit supportive. Old crop soybean sales were net positive at 95,000 mt (3.5 mil bu) vs. market ideas from net cancellations of 200,000 mt to sales of 100,000 mt, while new crop sales were quite limited at just 353,000 mt (13.0 mil bu), at the extreme bottom end of market of 350-900,000 mt.
The September dollar index is trading 4 points higher this morning at around 98.49. This morning the October crude oil contract is trading around $0.50 lower. The October contract is trading just above the $56.00 level.