May 13, 2008 8:10 AM
Good Tuesday Morning!!
Corn down 4 old crop, down 5 new. Soybeans up 8. Wheat down 2.
Overnights weren't very exciting. Weather will continue to be the main story, as farmers hope current rains will be the last for awhile, with almost half the corn crop yet to be planted.
Crude Oil lower $123.80 off .43.
Gold lower $878.50 off $6.40.
The Dollar is trading higher against most major currencies this morning.
Chinese Soybean and Oil futures closed higher, Corn and Meal lower.
Palm Oil closed down a little over 1%.
European Wheat futures lower.
The USDA Weekly Progress report shows Corn planting 51% complete vs. 27% last week, 71% last year and 77% average. Corn emerged 11% vs. 32% last year and 33% average. Soybean planting 11% complete vs. 5% last week, 26% last year and 29% average. Spring Wheat 81% planted vs. 58% last week, 82% last year and 78% average. Winter Wheat was rated 47% good to excellent vs. 47% last week, 58% last year and 52% average. Corn planting was close to trade estimates ( 45% to 55%). No surprise in any of the other numbers. Next week we will be comparing Corn plantings to 92% complete last year and an average of 86% for May 20. If weather cooperates over the next 6 days we could be pushing close to 80% next week.
The Argentine Farmers strike continues at least until Thursday. The latest twist in the strike came yesterday, as the farmers decided to meet with provincial governors, in order to try to drum up more political support for their cause. They’re looking to start fresh discussions there, rather than at the national level, though the move runs the risk of further agitating Argentine President Fernandez and the cabinet officials. At this time cash markets are not concerned.
Celeres reported Brazilian soybeans at 96% harvested, up 3% from last week, but still behind last year’s virtual 100%, and 97% on average.
China’s central banks raised reserve requirements by ½ % showing the government’s determination to try and control inflation.
Funds turned to the sell side Monday selling 5,000 Corn, 3,000 Soybeans, 1,000 Meal, 2,000 Oil. Even Wheat.
Net Fund Positions: Corn +346,062. Soybeans +118,853. Meal +29,000. Oil +29,000. Wheat +12,051.
6-10 Day Forecast: Below Normal Temps. Normal to Below Precip. The western Corn Belt will see some showers today with the east seeing scattered showers tonight and Wednesday. Thursday into Sunday looks dry. Temps normal to below.
Early calls are soybeans 3-6 higher, corn is called 3-4 lower, and wheat 1-2 lower. Drier weather forecasts weigh on corn, possibly minimizing corn-to-soy switching.
Have a great day!!
Amy N. Brammer
Business Development Mgr. | Topflight Grain Coop.
400 E. Bodman | Bement, IL 61813
phone :: (217) 678-2261
fax :: (217) 678-8113
email :: abrammer@topflightgrain.com
web :: www.topflightgrain.com
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