FC Morning Comments 8/20/2015
Thursday, August 20, 2015, 8:08 AM
Submitted by: Joel Pudenz
Light volumes in the overnight session have corn futures trading 2-3c higher and soybean futures on both sides of mixed. While deferred soybean months are trading weaker, the overall market is finding a bit of support after making a new 6 ½ year low. Widespread rainfall – which is needed for pod fill – has soybean futures on the defense for the 3rd consecutive day. Corn has put together a nice string of positive closes as private crop tours are estimating yields below USDA projections. Yield checks are hit n’ miss. It’s hard to reconcile drowned-outs, denitrification issues, and disease pressure on yields with the small samples yield checks & crop tours gather. We won’t really know until wheels start rolling in the next 6 to 8 weeks (even though temperatures make it feel like we should be cutting corn today). Outside markets are quiet. Crude oil continues sliding lower, knocking on the door of $40/barrel. The dollar index is trading lower at the moment after it fell under some pressure yesterday – this could provide some support to commodities today.
Corn – steady to 3 cents higher
Soybeans – steady to 4 cents lower
Have a good day!