Dec corn down ¾ at $3.725
Nov beans unchanged at $8.8425
The DOW is up
USD is weaker
Crude oil up $.39 at $62.60
Corn continues to consolidate ahead of tomorrow’s USDA report. Most in the trade are looking for another reduction in the U.S. corn yield. There’s also some talk that the USDA could trim its corn used for ethanol estimate, so pay attention. As always, the feed and residual numbers will be a “wild-card”.. The short term outlook is positive. Stable action over 371.5 (closing basis) leaves the market poised to test 380+/-. Closing under 366 voids recent positive action. System types are long – risking 369.25.
Soybean bulls are trying to hold their recent gains. The JAN18 contract touched $9.00 per bushel back on Friday but has backpedaled a bit since. There’s the ongoing uncertainty surrounding Chinese trade relations and the market’s uncertainty surrounding the recent Trump comments. The Brazilian crop is currently estimated at 120.5 MMTs vs. 119.80 MMTs last year. The Brazilian producers have enjoyed very cooperative weather and already have over 60% of their crop planted which is well ahead of their traditional pace. Meaning not only are they going to plant a record number of acres, but they are going to get it into the ground way ahead of schedule with very few problem areas. The short term outlook is positive. The market looks poised to test 906.25, perhaps 916.75. A close under 864.25 is needed to void the outlook. System types are long – risking 869.5.
The value of U.S. pork exports to Mexico dropped to $1 billion from January through September — down 8% from the same period in 2017, according to USDA data compiled by the U.S. Meat Export Federation. European and Canadian pork producers are filling the gap in pork supplies. (Source: AP)
The Maryland-based agribusiness will spend $30 million to open an organic grain storage and processing facility. Perdue CEO Randy Day said the company needs new access to organic grains in order to produce more organic chicken. The grain receiving and storage facility will be built at Tradepoint Atlantic in eastern Baltimore which will put them strategically near a number of major interstate, rail lines and the Port of Baltimore. The facility will also include grain and oilseed processing/milling and support more than 25 new jobs. (Source: Perdue Farms)