Morning Comments October 12, 2018
Friday, October 12, 2018, 8:10 AM
Submitted by: Landus Cooperative
Beans up 5
Yesterday, the December corn contract closed 6 ½ cents higher settling at $3.69 ¼, and the July contract was 6 ¼ cents better closing at $3.94. Corn found support yesterday with estimates of production and ending stocks lower than the trade had expected, with decreased yield estimates. USDA also lowered usage for feed but was offset by an increase in exports as U.S. corn remains the cheapest feedstuff. But before we get too excited, carryout remains at high levels and corn is expected to take acres away from beans next year.
The November bean contract closed 6 cents higher yesterday settling at $8.56 ¼, and the July contract was 6 ¾ cents better settling at $9.10 ¼. The USDA increase yield, yet again, on beans but surprise trade by reducing acres harvest by 600,000 reducing carryout to a still burdensome level. President Trump will meet with the Chinese President in November and China has announced they are considering placing limits on the amount of protein used to feed pigs and poultry in response to continued tariffs.
Weather looks favorable for harvest to begin soon, remember to be safe, take the time to turn off your equipment before working on it. Have a great weekend!