AM Comments 2/26/16
Friday, February 26, 2016, 8:02 AM
Submitted by: Eric Kist
Temperatures are warming here in Central Iowa, but grain markets have been charting a course lower throughout the week. Quiet overnight trade again yielded minimal changes to prices this morning, as corn is down a half-cent and beans are up a penny entering today’s session. On the week thus far, corn has dropped 10 cents, while beans have lost nearly double that amount, currently trading 18 cents lower for the week.
Day two of the USDA Ag Outlook event will give markets a bit more fundamental news to digest, as the event is expected to conclude with the release of an estimated Supply & Demand for the upcoming crop year. Granted, these are just preliminary projections, but the market has a thirst for fresh news, and with the abundance of selling by funds throughout the week any surprises could lead to a short-covering rally.
Outside markets appear to be supportive so far this morning which may help grains gain some ground, as both US equities and crude oil are posting decent gains.
Beans: 1-2 higher
Have a great day!