AM Comments 09/29/14
Monday, September 29, 2014, 7:09 AM
Submitted by: Dustin Weiner
So far this morning the corn and wheat markets are seeing some small rallies while soybeans are trading just below Friday’s close. Many in the trade view the strength this morning as nothing more than a short-covering rally. I don’t think anyone will be too surprised if we make new contract lows again sometime near the tail end of this week as yields reports continue to impress.
The quarterly stocks report will be released tomorrow (which helps explain the short-covering rally today as traders take profits ahead of it) which will tell us what grain stocks were on September 1st. The average estimates for Sep 1 corn stocks is 1.185 billion bushels which would be real close to what the Sep S&D report listed. Sep 1 soybean stocks are projected to be 126 million bushels which is just under the 130m bushels that were shown in the Sep S&D. Overall this has a chance to be a touch friendly (maybe just to soybeans) but most likely will quickly be traded and forgotten as the market moves on to discuss weather/yields/etc.
Corn steady to 1c higher
Soybeans steady to 1c lower
Have a great day!