Current Markets as of 8:00 Thursday, April 23, 2020
Month High Low Change Last
May 20 Corn $3.23 $3.16 ¼ $ + 4 $3.21 ½
Dec 20 Corn $3.41 ¾ $3.36 ¾ $ + 3 ½ $3.40 ¼
May 20 Beans $8.48 ¾ $8.33 ¾ $ + 9 ¼ $8.44
Nov 20 Beans $8.57 $8.46 $ + 6 ½ $8.53
Oil $17 Higher Gold $1,730 Higher Dow $23,425 Higher Wheat $5.63 Higher
The Des Moines ethanol low rack price is $.4813. This is $0.0824 lower than the unleaded gas low price of $.5637.
One reason why markets are gaining is sources familiar with Chinese government planning, cited by Reuters, say the country’s government is prepping to purchase more than 30 mln mt of agricultural crops, mainly from the United States, for state held stockpiles. The total includes around 20 mmt of Corn, 10 mmt of soybeans, and 1 mmt of cotton as the country looks to add to its reserves
USDA announced this week that starting in September, they will adjust final corn crop number in the September grains stocks report versus January the following year. The USDA is already revising the final soybean crop number in September.
The U.S. House is expected to vote today on a $483 billion-dollar aid package. The Senate approved the package on Tuesday.
Crude oil is finding follow-thru support although some of the strength may be a result of tensions between the US and Iran.
May Corn Support is $3.00 and resistance is $3.23. May Beans Support is $8.30 and resistance is $8.50. Funds bought 60 Million (12,000) contracts of corn and bought 20 Million (4,000) contracts of beans Wednesday. Just under 229,000 contracts traded last night.
Weather: Heavy rains fell in the southern Plains and belt over the past 24 hours, continuing in the SE belt this morning, with precip moving from NW to SE across the rest of the belt tonight through Saturday for widespread coverage overall. Conditions remain drier next week into the 6-10 day, wetter for the 11-15.
Corn: 2 to 4 cents higher on China buying corn for reserves.
Beans: 8 to 10 cents higher on China buying.
Have a Great Thursday! Darren, Brady and David
Gold-Eagle Cooperative Providing Quality Services and Products Innovatively, Profitably, and Professionally.