PM Comments 02/06/15
Friday, February 6, 2015, 3:02 PM
Submitted by: Dustin Weiner
Pretty quiet day today folks – corn ended up closing just barely in the black while beans were down over a nickel. Walking in this morning it seemed like the corn market could hold rallies today, but after the January jobs report was released the $US shot higher and commodities lost traction (including corn). Although -- somehow corn rallied enough over the last few minutes to stay out of the red… which means that on the week corn gained ~16c, pretty close to what it lost (~17c) last week. Soybeans had a similar story today (trading higher early on & falling apart after the $US popped up) only without the same late session rally that corn received. For the week, soybeans were up ~12c (they were down ~12c last week). Yawn.
The last 10 trading days while fairly volatile – have been mostly uneventful in regards to changes in underlying fundamentals (read: supply and demand stuff). The February S&D that will be released Tuesday morning will try to inject some excitement into the markets with potential demand tweaks, but in my opinion we will need to wait until the acreage and stocks reports at the end of March before the fun truly begins. Also – we will have a much better idea on the South American crop by then which will give these markets something else to do other than “chop” (for better or worse).
Have a great afternoon!