May corn down 1 ¾ at $3.845
May beans up 2 ¾ at $10.57
The DOW is up
USD is weaker
Crude oil down $.55 at $66.84
Corn prices have moved very little as of late. In fact, prices are very near where we started both the beginning of April and the beginning of March. In other words, we’ve had some headline movement but we really haven’t gone anywhere. For what it’s worth, the new-crop contract is about +15 cents higher this year than it was last year at this juncture. Technically, the corn market is still correcting as we test the $3.85 to $3.82 area. Look for that to handle the break. However, expect rallies to have problems against $3.90 as the May liquidates. The July is settling back with targets in the $3.90 to $3.92 area. Expect buying there. Risk a close under $3.90. Again, the highs at $4.02 3/4 are the key to resuming the upswing.
Soybean bulls are hoping to soon see a fresh new 52-week high. The JUL18 contract traded to $10.78 late last week, while the recent high was posted in early-March just north of $10.90 per bushel. The new-crop NOV18 contract is actually about +$1.00 higher than the NOV17 contract at this time last year. Technically, the bean market is still battling the highs near $10.60 which should force another break. Target the $10.35 to $10.40 area. Expect a bounce from there but we need a close over the $10.60 level to extend to the topside.
The quality of corn assembled for export early in the 2017/18 marketing year was better or equal to U.S. No. 2 on all grade factors based on data reported in the recently released seventh edition of the U.S. Grains Council’s Corn Export Cargo Quality Report. Test weights were the same as 2016/17, which was overall good. Similar protein content, lower starch and higher oil concentrations than 2016/17. Aflatoxin and vomitoxin were below U.S. FDA levels.
Argentina had blocked imports of U.S. pork for about 26 years, citing animal health concerns. The deal is expected to open up a potential $10-million-per-year market for U.S. pork producers. The U.S. is the world’s leading pork exporter and currently exports about 27% of its domestic pork production. Japan, Mexico and Canada are the top three destinations for U.S. pork. (Reuters)
The eggs were distributed from a farm in Hyde County, North Carolina, which, Food Safety News said, produces 2.3 million eggs per day from 3 million laying hens. The eggs reached consumers in Florida, New York, Pennsylvania, North Carolina, New Jersey, Virginia, Colorado, South Carolina, and West Virginia. It is the largest recall of eggs in the United States since 2010, according to the report. They were sold under the brand names Country Daybreak; Crystal Farms; Coburn Farms; Sunshine Farms; Glenview; Great Value; as well as at Walmart and Food Lion stores (Source: NY Times)
The small but growing insect farming sector has captured attention and investments from some heavyweights in the $400 billion-a-year animal feed business, including U.S. agricultural powerhouse Cargill Inc, feed supplier and farm products and services company Wilbur-Ellis Co and Swiss-based Buhler Group, which makes crop processing machinery. Fast food giant McDonald’s is also studying using insects for chicken feed to reduce reliance on soy protein. We hear more about insects as protein in the news, so I suspect it’s coming to a restaurant near you soon.