Current Markets as of 8:00 Tuesday, January 29, 2019
Month High Low Change Last
Mar 19 Corn $3.80 ¾ $3.78 ½ $ + ¼ $3.80
Dec 19 Corn $4.03 ½ $4.01 ¾ $ – ¼ $4.02 ¾
Mar 19 Beans $9.22 ¼ $9.17 ½ $ – 5 $9.18 ¼
Nov 19 Beans $9.61 ¼ $9.56 ¾ $ – 4 $9.58 ¼
Oil $53.50 Higher Gold $1,308 Higher Dow $24,543 Higher Wheat $5.17 Lower
The Des Moines ethanol low rack price is $1.3047. This is $0.1038 lower than the unleaded gas low price of $1.4085.
The EU said today that US soybeans can be used in biofuels in the EU and is valid until July of 2021. The US share of the EU market is now about 75% since the trade war with China made US soybeans the cheapest origin vs Brazil. The EU imports about 14 mmt of soybeans a year (vs China at 86-90 mmt
Corn Support is $3.76 and resistance is $3.85. Beans Support is $9.10 and resistance is $9.40. Funds sold 25 Million (5,000 Contracts) of corn and sold 10 Million (2,000) contracts of beans Monday. 55,669 contracts last night.
The USDA said on Monday U.S. farmers now have until Feb. 14 to apply for federal aid designed to offset the impact of retaliatory Chinese tariffs on American crops.
The USDA today announced yesterday they have effectively cancelled the January WASDE report, and the February report will include last year’s final yield estimates.
Brazil’s second corn crop seeding rate is advancing well above historical levels. Analyst AgRural pegged the crop at being 15% seeded versus the 5-year average of 4%.
US/China trade negotiations will begin tomorrow. There’s a strong possibility enough progress will be made to extend the March 2nd deadline.
Weather: Rains fell in far northern and far southern Brazil over the past 24 hours; precip chances remain for most of the country over the next two weeks, wetter in the north in particular in the 6-10 day forecasts this morning. Models are more mixed in Argentina but generally drier throughout, though north-central corn and soybeans areas have a chance for heavy rains in the near-term
EARLY MARKET FEATURES
Corn – Choppy trade, taking direction from action in the wheat and bean market
Beans – Lower ahead of war talks and renewed concerns of increased tensions between both parties
Have a great Tuesday! Darren, Brady and David
Gold-Eagle Cooperative Providing Quality Services and Products Innovatively, Profitably, and Professionally.