Current Markets as of 8:00 Thursday, December 13, 2018
Month High Low Change Last
Mar 19 Corn $3.86 $3.84 $ – ½ $3.84 ¾
Dec 19 Corn $4.04 $4.02 ¾ $ – ½ $4.03 ¾
Jan 19 Beans $9.20 $9.16 ½ $ – 1 ¾ $9.18 ¼
Nov 19 Beans $9.66 $9.63 ½ $ – 1 ½ $9.64 ½
Oil $50.50 Lower Gold $1,240 Lower Dow $24,630 Higher Wheat $5.43 Higher
The Des Moines ethanol low rack price is $1.4321. This is $0.1207 lower than the unleaded gas low price of $1.5528.
Weekly total fuel ethanol production fell back to 1.046 million barrels per day this week, compared to 1.069 mln bpd the week prior and 1.089 mln bpd on the comparable week last year. Cumulative output since September 1 now stands basically right in line with last year’s pace at 1.043 mln bpd; the USDA revised lower their 2018/19 corn use for ethanol estimate in this month’s S&D to 5.6 billion bushels, which is now basically right in line with last season
Corn Support is $3.78 and resistance is $3.90. Beans Support is $9.06 and resistance is $9.32. Funds bought 30 Million (6,000 Contracts) of corn and bought 30 Million (6,000) contracts of beans Wednesday. Just under 85,000 contracts traded last night.
Grain markets are mixed as the trade debates the recent news of China’s soybean purchases. News wires reporting China has finally purchased some US soybeans, its first purchase since President Trump and Chinese President Xi struck a truce to the trade war earlier this month. It is believed China has purchased 1.5 to 2.4 MMTs, although it is yet to be confirmed by the USDA
The House of Representatives passed the farm bill on Wednesday. The Senate on Tuesday voted overwhelmingly to approve an $867 billion farm bill. The legislation will now head to the President
Weather: Scattered rains and snows are lingering in the southern Plains this morning, heaviest in eastern OK and TX, continuing through tomorrow morning; the Plains and Midwest will dry up after that for the next week, with conditions staying mostly dry into the extended maps as precip remains south and southeast of U.S. growing areas. Temperatures look above-normal
Rains were scattered around the fringes of South American crop areas over the past 24 hours, expanding into southern ARG and BRZ across the weekend, and western areas of those two countries in the 6-10 day
EARLY MARKET FEATURES
Corn – Corn’s daily price chart looks trapped in consolidation, but the weekly chart suggests more room to the upside
Beans – Nearby soybeans traded to their highest price since June 15th yesterday after China’s return. More sales will be needed soon to maintain this rally.
Have a great Thursday! Darren, Brady and David
Gold-Eagle Cooperative Providing Quality Services and Products Innovatively, Profitably, and Professionally.