Morning Comments May 10, 2018
Thursday, May 10, 2018, 8:05 AM
Submitted by: Landus Cooperative
Corn: Steady to marginally lower
Beans: 3 to 4 cents higher
WASDE report will be released at 11:00 a.m. this morning. This will be our first look at the ‘18/’19 balance sheet. Yield, exports, and ending stocks will be closely watched. U.S. ethanol production came in at 306 million gallons last week which was up 3 million gallons from the previous week. USDA’s weekly export sales were published at 7:30 a.m. this morning. Corn was just below the bottom of expectations and soybeans were at 13 mln bu, at the lower end of expectations. Market action may be choppy this morning until we get the S&D report at 11 a.m.
The dollar index fell off from a 4 month high yesterday to close lower yesterday. September dollar index is trading lower this morning, while the June oil contract is trading slightly higher this morning. We haven’t seen crude oil prices this high since October of 2014. Most support for crude (and energies) is coming from the U.S. backing out of the Iran Nuclear Deal and the subsequent/anticipated sanctions placed on Iranian businesses.
Slow moving rains will bring rains into the Midwest this weekend. Heavy rains have hit Argentina again this week, causing harvest delays. Brazil has been dry and this pattern looks like it could continue in the extended forecast.
Have a good day!