Morning Comments June 7, 2017
Wednesday, June 7, 2017, 8:06 AM
Submitted by: Landus Cooperative
Corn trading 3-4 cents higher
Soybeans trading 5-7 cents higher
Corn is trading higher this morning after a very active overnight session. A continuing hot and dry weather outlook has the trade concerned over drought and the potential impacts from that. The trade seems to be paying much more attention to the weather outlook than the upcoming WASDE report, due out Friday.
Soybeans are also trading higher this morning. The major concern here is that the late planted or replanted beans that were put into dry dirt may have emergence issues. The condition report for soybeans will be released on Monday. Yesterday we saw a short covering rally for soybeans causing them to trade 11 cents higher at one point, before closing just 1 ½ cents higher on the day for the July contract.
The U.S. dollar index closed at near 7 month lows yesterday. However, crude oil is slightly lower again today, staying a couple dollars below the psychological $50 level.
If this is the “summer” rally we’ve all been waiting on, please make sure to get your offers in. We’ve seen quite a few folks selling bushels the past 24 hours, both old crop and new crop. Please let us know if there is a specific number we should be watching for you. These type of markets tend to be fairly volatile and hard to pin down a specific level. Putting in a firm offer will help ensure getting filled if we trade to that cash price.
Also, keep in mind the “Bonus Premium”. This is a marketing alternative that can add 10, 15, or 20 cents to your Old Crop cash corn price by leaving a specific New Crop Offer. Please contact your local GMA (or call the Ames office at 877-778-2226) for complete details.