Morning Comments June 16, 2017
Friday, June 16, 2017, 7:06 AM
Submitted by: Landus Cooperative
Corn up 1-2
Beans up 4-5
Yesterday, the July corn contract closed 2 ½ cents higher settling at $3.79 ½, and the December contract was 2 ¼ cents higher closing at $3.97 ¾. Corn futures began the day trading 4 cents down, but recovered when GFS forecasting model turned drier for the midwest for the remainder of June. Trade is also starting to watch the Black Sea region as they are reporting dry conditions and no rain in the forecast. Export sales came in at 23.6 mln bu with YTD export sales at 2.150 billion bushels, 97% of USDA forecast with 2 ½ months left in the crop year.
The July bean contract closed 3 cents higher yesterday settling at $9.34 ¾, and the November contract was 5 cents higher settling at $9.44. Strong export demand and better than expected Crush report helped soybeans yesterday. O/C bean sales were at 340,200 MT, export sales now at 106% of USDA projected sales. NOPA crush report got bulls talking when crush totals came in 149.3 mln bu for May, this was up 6.1 mln bu from expectations, adding support to beans. An interesting fact is that 6% of soybeans are located in the Dakotas; 32% South Dakota and 62% of North Dakota is reported under severe to extreme drought, this has bulls talking.