Corn bounced higher overnight, following the strength from the soybean market. The July contract gapped higher overnight and nearly hit it’s 9 month high of $4.08. The December contract has hit its’ highest price since last July and within a nickel of the contract high. U.S corn planting should come in around 75-80% complete. The overall crop looks good with a few scattered dry areas showing up. Look for mostly higher trade today.
Soybeans gapped higher overnight but has lost some steam this morning, closing five cents off the session high of $10.22. Support came on confirmation of a U.S/Chinese understanding. The trade war was put on hold as the U.S agreed to drop tariff threats and China agreed to buy more U.S products. Soybean plantings are expected to be over 50% complete on today’s progress report. Look for higher trade today on meal strength and hopes of a positive deal with China.
Spring wheat closed penny higher this morning, with the July contract closing three cents off the session high of $6.33. The market traded higher on spillover strength in the row crops and the understanding with China. Spring wheat planting progress is expected to be near 80-85% complete. Look for slightly higher trade today.
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 1:30pm|
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|
|Futures markets as of 8:30 AM|
|Kansas City HRW:||KWEN18||5.41||+0.02|
|CHS Drayton Cash Prices|
|Spring Wheat:||6.10||-0.20 basis||May||Delivered Drayton|
|Winter Wheat:||4.61||-0.80 basis||May||Delivered Drayton|
|Corn:||3.56||-0.50 basis||May||Delivered Drayton|
|Soybeans:||9.14||-1.03 basis||May||Delivered Drayton|
Spring Wheat Protein Scales
-.10 cents ea. 1/5 down from 14.0% to 13.0%
-.10 cents ea. 1/5 down from 13.0% to 11.0% (Max -1.30)
+.10 cents ea. 1/5 from 14.0% to 15.0%
+.10 cent bump at 15.0% pro
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