CHS Drayton: Morning Market Wire (07/16)

Corn traded was quiet overnight with the July contract closing a fraction lower this morning.  With the USDA report now behind us, the trade will turn its focus to weather moving forward.  The July contract went off the board at $3.3075, down 6.25 cents and 1.75 cents off the 2017 low.  Look for mostly weaker trade today as the weather for pollination is better, and we just don’t have a bullish driver right now.

Soybeans traded two sided overnight, with the August contract hitting a new low.  The July contract expired Friday, making August the lead contract.  U.S weather remains mostly favorable with the critical weather still ahead in August.  As the global trade war with China progresses look for basis to continue to weaken.  However, if an agreement can be made, basis should go back to normal levels.

Spring wheat trade was lower overnight as winter wheat harvest continues with good yields, quality and protein.  Russian wheat picked up some much-needed precipitation over the weekend.  Russian wheat exports will top 40mmt in 2017/18.  This easily will make Russia the world’s biggest wheat exporter.  Look for mostly lower trade today on weak demand and increasing stocks.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.07 $8.86 $8.53
CH19 (Mar.) $3.80 $3.85 $3.66
MWH19 (Mar.) $5.85 $5.75 $5.61

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.13 5.75 MWZ18 11/21/2018
0.16 8.75 SX18 10/24/2018
0.12 3.65 CH19 2/20/2019

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEU18 5.30 -0.01
Kansas City HRW: KWEU18 4.89 -0.02
Soybeans: SQ18 8.18 0.00
Corn: CU18 3.41 -0.00

 

CHS Drayton Cash Prices
Spring Wheat: 4.90 -0.40 basis July Delivered Drayton
Winter Wheat: 4.09 -0.80 basis July Delivered Drayton
Corn: 2.89 -0.52 basis July Delivered Drayton
Soybeans: 7.00 -1.18 basis July Delivered Drayton
 

New Crop

           
Spring Wheat: 4.75   -0.55 basis Aug/Sept   Delivered Drayton
Corn: 2.89   -0.65 basis Oct/Nov   Delivered Drayton
Soybeans: 7.04   -1.30 basis Oct   Delivered Drayton

 

Spring Wheat Protein Scales

-.08 cents ea. 1/5 down from 14.0% to 13.0%

-.08 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.08 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

CHS reports net income of $229.3 million for the 3rd quarter of fiscal 2018

CHS income
CHS Inc., the nation’s leading farmer-owned cooperative and a global energy, grains and foods company, reported net income on July 11, 2018, of $229.3 million for the third quarter of its 2018 fiscal year (three-month period ended May 31, 2018), compared to a net loss of $45.2 million for the same time period a year ago.

Consolidated revenues for the third quarter of fiscal 2018 were $9.0 billion, up from $8.6 billion for the third quarter of fiscal 2017. Pretax income was $289.4 million for the third quarter of fiscal 2018, compared to a loss of $209.2 million for the same period the prior fiscal year.

“Thanks to the hard work of many throughout CHS, we’ve made great strides this year in strengthening relationships, optimizing operations and improving results from our core businesses,” said CHS President and CEO Jay Debertin. “The steps we’ve taken will better position us to navigate the inevitable cycles in agriculture and energy. I am proud of our team and their dedication and commitment to operating with excellence.” (more…)

CHS Drayton Morning Market Wire (7/10)

Corn was weaker overnight as corn loses some risk premium as prices consolidate inside yesterday’s trading session. The USDA July S&D report will be out this Thursday July 12th. Dry weather continues to dominate the U.S Midwest this week, except for showers in the eastern Dakotas this morning. Weekly condition ratings for corn dropped 1% to 75% good/excellent. Look for slightly lower trade this morning.   (more…)

CHS Drayton: Morning Market Wire (07/09)

Corn traded weaker overnight after a technically friendly session to end last week.  Concerns of possible crop losses in parts of MN, IA, and SD provided support late last week.  However, favorable weather over the weekend and trade war concerns pressured the market overnight.  Look for mostly lower trade today, after a weak overnight session.

Soybeans closed nine cents lower this morning, giving back some of the unexpected gains from Friday.  November 2018 futures had its largest daily move up of 38 cents on Friday.  Last Friday’s USDA export sales report did show China bean cancellations of 432k tons. However, China still has over 2.0 million tons of open U.S sales on the books.  Look for mostly lower trade today.

Spring wheat traded two sided overnight with the September contract trading a six cent range.  The market was lower as U.S and world supplies remain adequate.  Rains are needed in Russia as the wheat crop is at risk of further declines in their production.  Look for slightly higher trade today on worries of lower production in Northern Europe and Russia.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.46 $9.43 $9.02
CH19 (Mar.) $3.95 $3.90 $3.78
MWH19 (Mar.) $6.05 $5.95 $5.85

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.13 5.70 MWZ18 11/21/2018
0.20 9.25 SX18 10/24/2018
0.15 3.80 CH19 2/20/2019

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEU18 5.54 -0.04
Kansas City HRW: KWEU18 5.07 -0.05
Soybeans: SQ18 8.68 -0.09
Corn: CU18 3.55 -0.04

 

CHS Drayton Cash Prices
Spring Wheat: 5.22 -0.32 basis July Delivered Drayton
Winter Wheat: 4.27 -0.80 basis July Delivered Drayton
Corn: 3.05 -0.50 basis July Delivered Drayton
Soybeans: 7.68 -1.00 basis July Delivered Drayton

 

Spring Wheat Protein Scales

-.08 cents ea. 1/5 down from 14.0% to 13.0%

-.08 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.08 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

CHS Drayton: Morning Market Wire: (07/02)

CHS Drayton and all locations will be closed July 4th, July 5th and July 6th in observance of Independence Day.   

Market Summary

Corn traded higher overnight as warm daytime and night temperatures have caused concern about pollination.  Otherwise, summertime weather has been quite normal.  Yesterday’s crop rating report showed a slight decline to 76% good/excellent from 77% last week.  Large spec funds are estimated net short 38,000 contracts after yesterday’s heavy sell volume.  Look for slightly higher trade today on high temps and ahead of the holiday break.

Soybeans traded two sided overnight with the August contract closing a fraction higher this morning.  The threats of Chinese tariffs on U.S goods including soybeans go into effect on July 6th.  U.S weather seems mostly favorable but the USDA lowered crop ratings by 2% to 71% good/excellent.  Look for choppy to weaker trade today with uncertainty of Chinese tariffs on U.S soybean imports as the key driver.

Spring wheat closed eleven cents higher this morning, finding support after yesterday’s sharp selloff. Many traders are trying to use global wheat production as support as Russia and EU are experiencing slight cuts in production.  But the U.S stocks to use ration is over 50%.  The USDA pegged U.S winter wheat harvest at 51% complete.  They dropped U.S spring wheat conditions by 1% to 77% good/excellent.  Look for slightly higher trade as world production is declining but supplies are adequate.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.46 $9.23 $8.86
CH19 (Mar.) $4.00 $3.90 $3.74
MWH19 (Mar.) $5.95 $5.90 $5.80

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.12 5.55 MWZ18 11/21/2018
0.20 9.10 SX18 10/24/2018
0.15 3.75 CH19 2/20/2019

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEU18 5.38 +0.11
Kansas City HRW: KWEU18 4.88 +0.17
Soybeans: SQ18 8.54 +0.01
Corn: CU18 3.51 +0.04

 

CHS Drayton Cash Prices
Spring Wheat: 5.06 -0.32 basis July Delivered Drayton
Winter Wheat: 4.08 -0.80 basis July Delivered Drayton
Corn: 3.01 -0.50 basis July Delivered Drayton
Soybeans: 7.54 -1.00 basis July Delivered Drayton

 

Spring Wheat Protein Scales

-.08 cents ea. 1/5 down from 14.0% to 13.0%

-.08 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.08 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

The difference between drift and volatilization

herbicide application
Getting the most out of an herbicide application not only includes maximizing efficacy, but also minimizing damage caused by herbicides. Being aware of what can go wrong and how to avoid it can lead to effective, on-target herbicide applications and help growers have a successful growing season – without the distress and loss caused by applications gone awry.

Two threats to herbicide applications are drift and volatilization. While they may seem similar, they are quite unique and require different attention to ensure that neither occur. (more…)

CHS Drayton: Morning Market Wire (06/27)

Market Summary

Corn is up a couple of cents this morning continuing the strength from yesterday.  The extended forecasts are calling for above average temperatures and a lack of precipitation for much of the corn belt.  Prolonged periods of hot and dry weather could produce some issues.  The USDA will release the Acreage and stocks report on Friday June 29th the average estimate is 88.56 million acres, slightly higher than the March report estimate of 88.03 million acres.  Look for quiet, low volume trade ahead of Friday’s report.

Soybeans traded higher overnight with the July contract closing at the session high of $8.78.  The market found support overnight after setting new lows once again yesterday.  Trade concerns with China continue to weigh on this market.  The average trade estimate for Friday’s acreage report is 89.69 million acres, slightly higher than the 88.98 million acres from the March Prospective Plantings report.  Look for choppy trade ahead of Friday’s report, the focus will then turn to the July 6th deadline when the U.S and Chinese tariffs will go into effect.

Spring wheat is up this morning on technical buying after yesterday’s prices dropped to five month lows.  More rain is in the extended forecast for North Dakota into Canada, calling for above normal temperatures.  Average trade estimates for all wheat acreage on Friday’s report is 47.12 million acres compared to March’s estimate of 47.34 million acres.  Look for mixed trade as winter wheat harvest and good spring wheat conditions weigh on the market.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.71 $9.47 $9.10
CH19 (Mar.) $4.05 $4.00 $3.85
MWH19 (Mar.) $5.95 $5.90 $5.80

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.10 5.75 MWZ18 11/21/2018
0.22 9.35 SX18 10/24/2018
0.11 3.85 CZ18 11/14/2018

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEU18 5.49 +0.03
Kansas City HRW: KWEU18 4.62 +0.04
Soybeans: SQ18 8.82 +0.09
Corn: CU18 3.63 +0.01

 

CHS Drayton Cash Prices
Spring Wheat: 5.19 -0.30 basis June Delivered Drayton
Winter Wheat: 3.82 -0.80 basis June Delivered Drayton
Corn: 3.13 -0.50 basis June Delivered Drayton
Soybeans: 7.82 -1.00 basis June Delivered Drayton

 

Spring Wheat Protein Scales

-.09 cents ea. 1/5 down from 14.0% to 13.0%

-.09 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.09 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

CHS Drayton: Morning Market Wire (06/26)

We will be having a Marketing Meeting TODAY at KENNEDY.  NDSU Professor Frayne Olson will be giving a market update on corn, soybeans and wheat. Please call the office for details.

Tuesday June 26th– Kennedy VFW 10:00am 

Market Summary

Corn closed three cents higher this morning after dipping briefly below the $3.50 mark.  July and December corn is currently about 11-12 cents above their contract lows.  Crop conditions were reported at 77% good/excellent compared to 78% last week, the weather continues to be beneficial in many areas of the Corn Belt.  Look for mixed to higher trade today with some buying taking place after yesterday’s low close.

Soybeans bounced overnight with the July contract trading a wide eleven cent range.  The market found some support this morning after closing at the lowest level since March of 2016 yesterday.  Crop conditions were unchanged yesterday at 73% good/excellent, the highest rating for this time of year since 1989.  Look for higher trade today on technical buying with limited gains on good conditions and the continuing trade conflict.

Spring wheat traded higher overnight with the July contract closing at the session high of $5.43.  The market found support overnight on technical buying after yesterday’s lower close.  Spring wheat is currently rated at 77% good/excellent, down 1% from last week but still the highest rating since 2012.  Weather forecasts for this week and the extended outlook call for beneficial rains across North Dakota.  Look for limited gains today on winter wheat harvest pressure and good conditions in spring wheat.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.78 $9.47 $9.13
CH19 (Mar.) $4.05 $4.00 $3.85
MWH19 (Mar.) $6.07 $6.05 $5.84

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.12 5.75 MWZ18 11/21/2018
0.23 9.40 SX18 10/24/2018
0.11 4.00 CZ18 11/14/2018

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEN18 5.43 +0.03
Kansas City HRW: KWEN18 4.71 +0.01
Soybeans: SN18 8.79 +0.04
Corn: CN18 3.54 +0.03

 

CHS Drayton Cash Prices
Spring Wheat: 5.18 -0.25 basis June Delivered Drayton
Winter Wheat: 3.91 -0.80 basis June Delivered Drayton
Corn: 3.06 -0.48 basis June Delivered Drayton
Soybeans: 7.84 -0.95 basis June Delivered Drayton

 

Spring Wheat Protein Scales

-.09 cents ea. 1/5 down from 14.0% to 13.0%

-.09 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.09 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

CHS Drayton: Morning Market Wire (06/21)

We will be having Marketing Meetings June 25th and June 26th.  NDSU Professor Frayne Olson will be giving a market update on corn, soybeans and wheat. Please call the office for details.

Monday June 25th– Manvel Community Center 9:00am

Monday June 25th– Cavalier Country Club 12:30pm

Tuesday June 26th– Kennedy VFW 10:00am 

Market Summary

Corn was unable to garner any momentum overnight but the July contract was able to close six cents off the overnight low.  Gains continue to be limited as forecasts for beneficial weather conditions in the Midwest this week and ideas of a big U.S corn crop come harvest time.  Export sales came in this morning lower than expected at 165,900 tons for 2017/2018 compared to estimates of 700k-1mmt.  Look for weaker trade today on good weather and trade concerns.

Soybeans closed a penny lower this morning after trading a wide twelve cent range overnight.  Continued concerns of a global trade war continue to weigh on the market.  However, the two countries are still discussing/negotiating.  It isn’t about whether China will buy U.S soybeans, it is about how much they will buy.  Look for lower trade on concerns with Chinese tariffs.

Spring wheat traded higher overnight on technical buying after the recent selloff.  The July contract was able to hold onto gains made overnight, closing at the session high of $5.60.  Export sales came in at 461,600 tons for 2018/19 compared to estimates of 250-500k tons.  Look for choppy trade today as harvest pressure continues to weigh on prices.

Compass contracts are a great way to market your new crop by pricing grain daily at a fixed higher futures price.  Below are today’s closing bids for two types of compass contracts we offer.  If you would like to make an offer or would like more information please give me a call at the office.  (All compass contracts have a 48 hour probation period.)

Price Builder Bonus Daily Price Plus Futures at 8:00am
SH19 (Mar.) $9.71 $9.64 $9.24
CH19 (Mar.) $3.95 $4.00 $3.86
MWH19 (Mar.) $6.18 $6.05 $6.03

 

Below is the third compass contract we offer which pays you a premium for your old crop for potentially selling the same amount of new crop.  You only sell the new crop if the futures is equal to or greater than the target price on the trigger date.  There are many different premiums and target prices available. Please call for more info!

Old Crop Premium New Crop Target Trigger Date
0.15 5.80 MWZ18 11/21/2018
0.16 9.50 SX18 10/24/2018
0.12 3.90 CZ18 11/14/2018

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEN18 5.60 +0.07
Kansas City HRW: KWEN18 4.94 +0.05
Soybeans: SN18 8.88 -0.01
Corn: CN18 3.55 +0.01

 

CHS Drayton Cash Prices
Spring Wheat: 5.35 -0.25 basis June Delivered Drayton
Winter Wheat: 4.14 -0.80 basis June Delivered Drayton
Corn: 3.07 -0.48 basis June Delivered Drayton
Soybeans: 7.93 -0.95 basis June Delivered Drayton

 

Spring Wheat Protein Scales

-.09 cents ea. 1/5 down from 14.0% to 13.0%

-.09 cents ea. 1/5 down from 13.0% to 11.5% (Max -1.15)

+.09 cents ea. 1/5 from 14.0% to 15.0%

+.00 cent bump at 15.0%  pro

Any information, materials and opinions (together, “CHS Materials”) presented by CHS to the recipient of such CHS Materials, whether in written or oral form, is for general information purposes only and does not constitute legal or other professional advice and should not be relied on or treated as a substitute for specific advice relevant to particular circumstances.  CHS makes no warranties, representations or undertakings, whether express or implied, about any CHS Materials (including, without limitation, any as to the quality, accuracy, completeness or fitness for any particular purpose of any CHS Materials). Recipient agrees that CHS shall not be liable to recipient relating to or resulting from the use of any CHS Materials or any inaccuracies or errors therein or omissions therefrom.

 

© 2018 CHS Inc.