Morning Comments October 2, 2018
Tuesday, October 2, 2018, 8:10 AM
Submitted by: Landus Cooperative
Corn: 1 - 2 lower
Beans: steady to 1 lower
Grains trading slightly lower this morning after a higher day yesterday. Positive news that a tentative trade agreement was reached with Canada and Mexico was supportive to commodities. Looking at the weather, the wet forecast also remains a supportive feature as continued moisture limits fieldwork in Iowa, Wisconsin, and southern MN. Meanwhile, dryness concerns in parts of the EU and the Black Sea regions have delayed winter wheat seedings. The crop progress report yesterday showed U.S. corn now 26% harvested vs 17% average, with Iowa at 11% vs. 6% last year at this time. U.S. soybeans are now 23% harvested vs 20% average, with Iowa estimated at 15% vs. 14% last year.
Globally, President Trump is claiming India wants a trade deal with the U.S. We also heard yesterday that Taiwan plans to increase U.S. soybean purchases by 37%. Officials from Taiwan and the Iowa Soybean Association gathered in the Iowa Capitol for a ceremony to celebrate Taiwan’s agreement to buy $1.5 billion worth of U.S. soybeans over the next 24 months. Great demand news that we haven’t seen for a long time!
Coming Soon: Landus Cooperative will soon be launching a podcast that will include a recap of the week’s futures activity. Stay tuned for more information.
Have a good day!