Morning Comments May 17, 2018
Thursday, May 17, 2018, 8:05 AM
Submitted by: Landus Cooperative
Corn up 1 to 2
Beans up 5 to 6
Wheat up 6-10
Markets are rebounding some from yesterday’s lows after news that the NAFTA trade negotiations may not be resolved any time soon. U.S. weather is considered mostly nonthreatening. Overnight, corn is supported by planting concerns in northern sections of the Western Corn Belt, but is looking more dry in the Eastern Corn Belt. There are still some concerns about dry conditions in Brazil. The USDA’s weekly report on export sales will be out this morning. Trade is expecting beans shipments in the 350,000 to 550,000 MT range. Another storm is moving into the upper Midwest, which is causing some trouble with planting progress.
The U.S. dollar is strong on rising interest rates that took the benchmark 10 year T-note to 3.09% yesterday. Something else to keep an eye on is crude oil. Crude is higher and making new highs for the move, currently trading at a 3.5 year high. Much of the recent strength in has been associated with reduced production out of Venezuela as well as the U.S. pulling out of the Iran nuclear deal.
Take a look at January and March corn bids. These are above the level that many of you have indicated you’d want to be a seller. Let us know if you want to put in an offer or two.