Market Commentary
CBOT markets were sharply higher overnight after news of a pending U.S.-China trade deal. Soybeans posted an amazing 13½ cent overnight gain while corn finished the night session up 5½ cents. Wheat added 3-5 cents in similarly enthusiastic trade. The day session saw prices m...
Turnaround 2020
The actual agricultural purchases to be made by China next year remains unclear with officials in Beijing failing to confirm President Trump’s boast about huge purchases. There is a press account citing an unnamed Chinese official oddly saying that there will be more imports of American w...
Summary of Futures
Mar 20 Corn closed at $3.81/bushel, up $0.0325 from yesterday's close. Mar 20 Wheat closed at $5.325/bushel, up $0.0225 from yesterday's close. Jan 20 Soybeans closed at $9.075/bushel, up $0.0925 from yesterday's close. Jan 20 Soymeal closed at $296.9/short ton, up $2.7 from y...
Final Hours of Policy Flurry and Fury
Congress is hitting the home stretch and policy making is at a frenzied paced. Following is a recap and some thoughts on implications. At this point, there are few details available as there are many moving parts. It will be a long weekend for policymakers and their staffs, and many long hours...
Getting to $50 Billion
The draft agreement between Washington and Beijing reportedly calls for China to purchase $50 billion worth of agricultural products from the U.S. in 2020. That would be a 291 percent increase from 2019, or a 92 percent increase from the pre-war year of 2017. One would expect China to have adde...
PM Post - Potential Indigestion
THE OPEN March beans: 9 1/4 higher March meal: 2.50 higher March soyoil: 13 higher March corn; 2 1/2 higher March wheat: 2 1/4 higher Prices opened with an air of caution and quickly filled in small open PM session gaps. Headlines continue to be digested with...
Technical Views - Gentle Climb
SPREADS Bean futures are still mostly about volumes going to spread trade, with January open interest down 17,339 ctrs and March up 15,796 ctrs. Open interest decreased slightly in May and July indicating only a small amount of liquidation has taken place. Jan/March bean spread trad...
AM Outlook - Riding High
GOOD MORNING, The adage is that low prices cure low prices. But now it's also enough to say that a few tweets and headlines along with some positive technical signals will aid in price recovery as well. Trump's tweets had been hinting at some kind of resolution, but this time...
Market Commentary
Markets were lower overnight, and the expectation was for more of the same when the sun rose but politics and fundamentals combined to give Chicago a shot in the arm. The fundamental change included the largest corn export sales in a long time, and a peace offering to China by the White House p...
Livestock Round Up
FDA on Feedlots? It looks like the cell cultured meat-inspired debate over how the FDA and the Food Inspection Safety Service (FSIS) should share jurisdiction of food safety may not stop in the laboratory. Representative Rosa DeLauro (D-Connecticut), a longtime critic of the meat and poul...
U.S. – China Outlook
There were positive signals today that the U.S. and China will reach some form of a phase one agreement and that tariffs will be reduced instead of increased. The deal may not be achieved until late this month, but it will undermine those arguing for American deglobalization. So-called protecti...
Oilseed Highlights: Chinese Soybeans; U.S. Soy Export Sales; Little Time for U.S. Soy Sales
China’s Soybean Output Estimated at 18.1 MMT China’s Ministry of Agriculture and rural Affairs this week raised its forecast for that country’s soybean production to 18.1 MMT. USDA also used that forecast in Tuesday’s WASDE report. The USDA forecast in November was 17.1...
Market Commentary
CBOT markets were sharply higher overnight after news of a pending U.S.-China trade deal. Soybeans posted an amazing 13½ cent overnight gain while corn finished the night session up 5½ cents. Wheat added 3-5 cents in similarly enthusiastic trade. The day session saw prices m...
Turnaround 2020
The actual agricultural purchases to be made by China next year remains unclear with officials in Beijing failing to confirm President Trump’s boast about huge purchases. There is a press account citing an unnamed Chinese official oddly saying that there will be more imports of American w...
Summary of Futures
Mar 20 Corn closed at $3.81/bushel, up $0.0325 from yesterday's close. Mar 20 Wheat closed at $5.325/bushel, up $0.0225 from yesterday's close. Jan 20 Soybeans closed at $9.075/bushel, up $0.0925 from yesterday's close. Jan 20 Soymeal closed at $296.9/short ton, up $2.7 from y...
Final Hours of Policy Flurry and Fury
Congress is hitting the home stretch and policy making is at a frenzied paced. Following is a recap and some thoughts on implications. At this point, there are few details available as there are many moving parts. It will be a long weekend for policymakers and their staffs, and many long hours...
Getting to $50 Billion
The draft agreement between Washington and Beijing reportedly calls for China to purchase $50 billion worth of agricultural products from the U.S. in 2020. That would be a 291 percent increase from 2019, or a 92 percent increase from the pre-war year of 2017. One would expect China to have adde...
PM Post - Potential Indigestion
THE OPEN March beans: 9 1/4 higher March meal: 2.50 higher March soyoil: 13 higher March corn; 2 1/2 higher March wheat: 2 1/4 higher Prices opened with an air of caution and quickly filled in small open PM session gaps. Headlines continue to be digested with...
Technical Views - Gentle Climb
SPREADS Bean futures are still mostly about volumes going to spread trade, with January open interest down 17,339 ctrs and March up 15,796 ctrs. Open interest decreased slightly in May and July indicating only a small amount of liquidation has taken place. Jan/March bean spread trad...
AM Outlook - Riding High
GOOD MORNING, The adage is that low prices cure low prices. But now it's also enough to say that a few tweets and headlines along with some positive technical signals will aid in price recovery as well. Trump's tweets had been hinting at some kind of resolution, but this time...
Market Commentary
Markets were lower overnight, and the expectation was for more of the same when the sun rose but politics and fundamentals combined to give Chicago a shot in the arm. The fundamental change included the largest corn export sales in a long time, and a peace offering to China by the White House p...
Livestock Round Up
FDA on Feedlots? It looks like the cell cultured meat-inspired debate over how the FDA and the Food Inspection Safety Service (FSIS) should share jurisdiction of food safety may not stop in the laboratory. Representative Rosa DeLauro (D-Connecticut), a longtime critic of the meat and poul...
U.S. – China Outlook
There were positive signals today that the U.S. and China will reach some form of a phase one agreement and that tariffs will be reduced instead of increased. The deal may not be achieved until late this month, but it will undermine those arguing for American deglobalization. So-called protecti...
Oilseed Highlights: Chinese Soybeans; U.S. Soy Export Sales; Little Time for U.S. Soy Sales
China’s Soybean Output Estimated at 18.1 MMT China’s Ministry of Agriculture and rural Affairs this week raised its forecast for that country’s soybean production to 18.1 MMT. USDA also used that forecast in Tuesday’s WASDE report. The USDA forecast in November was 17.1...