Grain markets were nearly unchanged overnight. Following the overnight session, corn had no change, soybeans are down one cent, and spring wheat is down one cent.
WASDE balance sheets, Grain Stocks, and Winter Wheat Seedings reports will be released today at 11:00am.
Corn traded two sided overnight as we head into today’s report. Technical support is at the contract low of $3.46 then $3.38, the gap left on the continuous chart when the December contract expired. The average estimate for corn carryout is 2.431bbu. If we do get a bounce after today’s report, it likely won’t last long as South American weather return as the main feature once again. Look for mixed trade ahead of today’s report.
Soybeans closed a fraction lower this morning after trading a narrow four cent range overnight. The average trade estimate for soybean carryout is 472mbu and 3.181bbu for December stocks. The trade is expecting a bearish report, but recent decline in prices has discounted some portion of that possibility.
Spring wheat closed a penny lower this morning after trading a three cent range over night. Technical support for the March contract is at $6.24 then $6.20; with resistance at $6.35. The average estimate for winter wheat seedings is 31.307 million acres, which would be down 1.389 million acres from last year. Look for quiet trade this morning as all the focus is on today’s report.
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:||KWEH18||4.40||0.00|
|CHS Drayton Cash Prices|
|Spring Wheat:||6.05||-0.25 basis||Jan||Delivered Drayton|
|Winter Wheat:||3.65||-0.75 basis||Jan||Delivered Drayton|
|Corn:||2.89||-0.60 basis||Jan||Delivered Drayton|
|Soybeans:||8.71||-0.90 basis||Jan||Delivered Drayton|
Spring Wheat Protein Scales
-.10 cents ea. 1/5 down from 14.0% to 13.0%
-.08 cents ea. 1/5 down from 13.0% to 11.0%
+.10 cents ea. 1/5 from 14.0% to 15.0%
+.10 cent bump at 15.0%
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.