Morning Comments November 24, 2017
Friday, November 24, 2017, 8:11 AM
Submitted by: Landus Cooperative
Corn down 1c
Soybeans steady to slightly higher
Trade will start today at 8:30 a.m. and end at 12:05 p.m.
New news - China is talking about cutting import taxes; the last time this happened was in 2015. This will impact value-added products like beef and pork, but should help our grain space also. With beef exports to China opening earlier this year (first time since 2003), it will be interesting how the cattle/livestock markets react to potentially lower import costs into the world’s most populous nation.
In the grain market, the trade is still trying to get a hold of crop size – right now, bias is pushing bearish sentiment. There are a lot of variables still at play – with a spotlight on South American weather. Also a concern to the trade is quality of the crop – how long is it storable? In Iowa, the corn and bean crops were generally higher in moisture vs. last year – which means that anyone who has grain in a bin should keep a close eye on it.
Interesting fact: last year from this point forward, July corn traded in an 38 ¼ cent trading range and July beans trade is a $1.92 range.
Will this year be like last year? Or will we be like years prior…
Hope you all had a Happy Thanksgiving!