AM Comments 11/25/2014
Tuesday, November 25, 2014, 8:11 AM
Submitted by: Joel Pudenz
We’ve got a good start to this Tuesday morning – corn futures are 2 cents higher, soybeans 12 cents higher, and soybean meal 7 higher. In outside markets, the dollar is slightly higher, crude oil is 26 cents stronger, and the DOW is trading 34 points higher (we are edging closer and closer to 18,000). Volumes are thin ahead of the Thanksgiving holiday, so any moves we are seeing are tough to pin to any singular event. Front end demand remains strong for soybeans (and meal); we’ve seen the Jan-Mar spread firm by 2 cents since yesterday morning. Weekly export inspections were (again) strong for soybeans yesterday, posting yet another week of exports north of 100 mln bushels. Corn exports were lower than expectations, continuing the thread of lacking global interest in U.S. corn. Expect the trade to be choppy and mixed through the holiday as the market looks toward January’s S&D report, our next sizable fundamental input.
Harvest progress is all but completed in the U.S. We are 94% done with corn (IA at 96%) and 97% complete with soybeans (IA at 99%). Wisconsin and Michigan are lagging quite a bit at 73% and 69% complete respectively. In South America, the crop is progressing well with good precipitation and temperatures in the forecast, which may put some pressure on our turnaround Tuesday performance.
Corn 2 cents higher
Soybeans 10 cents higher
Wheat even to a penny higher
Have a good day!