Morning Comments March 2, 2020

Corn closeup

Grains trading slightly higher as the trade still seeks fundamental direction, but the weight of the outside markets remains the only real story at this point. Coronavirus is impacting some US firms with travel restrictions, supply-chain disruptions, etc. The new month at least brings a revised USDA and stocks & plantings at the end. Today we will see the export inspections report at 10:00am. Globally, Brazil bean harvest is nearing 50% complete; with 2nd crop corn planting underway. Brazil corn prices are about 20% above last year due to the weak real.

Other news: The 2020 base crop insurance price has been set. February’s average price for December corn futures was $3.88/bu vs $4.00 a year ago. November soybeans averaged $9.17/bu vs $9.54 a year ago.

Opening calls:

Corn: 3 cents higher

Beans: 6 cents higher