AM Comments 02/09/15
Monday, February 9, 2015, 8:02 AM
Submitted by: Dustin Weiner
The markets look like they will start the day lower this morning. Key input today may actually be tomorrow’s S&D report as traders position themselves ahead of it. Also in the news was a potential ceasefire discussion between Russia and Ukraine which has the wheat market on the defensive (likely spilling over into corn).
The weakness in soybean is being blamed on an announcement over the weekend from China regarding their imports. First off, their Jan soybean imports were up from last year, down from December. Nothing shocking there, if anything it may be a touch friendly. However, they also announced that total country imports for January were down 19.9% implying a slowdown of the general economy. That is not what the bean bulls want to hear! So much of the bean price seems to be built on the idea that no matter how many beans we raise globally, China will just keep growing and keep sucking them in…
This afternoon we will send trade estimates of tomorrow’s report…
Corn down 1 to 3 cents
Soybeans steady to down 2 cents
Have a great day!