Morning Comments April 18, 2018
Wednesday, April 18, 2018, 8:04 AM
Submitted by: Landus Cooperative
Corn up 3
Beans up 6
Yesterday, the May corn contract closed 2 1/4 cents lower settling at $3.80 1/4, and the December contract was closed 1 1/4 cent lower closing at $4.06. The May bean contract closed 4 cents higher yesterday, settling at $10.46, and the November contract was 5 cents better settling at $10.45 1/4. Leading the charge upwards on the overnight is wheat is trading higher on drier forecast (or less-wet forecast). Rain is still slated for most of the wheat belt over the weekend, but estimated totals have been cut in half. The same news is unfriendly to the corn market which will allow for planting to begin early May. Other bearish inputs for corn include South America offering corn at prices cheaper than the US Gulf region, and China imposing tariffs on the import of U.S sorghum.
Beans are finding support from Argentina buying US beans for crush (Argy crushers buy U.S. beans, Argy crushers crush the beans and send them to China). It’s interesting how the market will find a way when “there is no way”. In farm news, some US senators from farm states are pressing the EPA to stop issuing hardship waivers to certain oil refiners. Additionally – US, Canadian, and Mexican officials are meeting in Washington tomorrow to discuss NAFTA.
Don’t forget that Extended Price contracts for May need to be rolled or sold this week; please contact your local GMA.