Morning Market Wire

Thursday May 13, 2021                                               By: Eric Peterson

Corn was weaker overnight due to weakness from yesterday’s bearish USDA report.  The 20-21 corn ending stocks number was neutral at 1.257 billion bushels, unchanged from last month.  The USDA reported the 2021-2022 ending stocks at 1.507 billion bushels, far above the average estimate of 1.344 billion.  Look for mostly lower trade today as the market reacts to yesterday’s report. 

Corn was weaker overnight due to weakness from yesterday’s bearish USDA report.  The 20-21 corn ending stocks number was neutral at 1.257 billion bushels, unchanged from last month.  The USDA reported the 2021-2022 ending stocks at 1.507 billion bushels, far above the average estimate of 1.344 billion.  Look for mostly lower trade today as the market reacts to yesterday’s report. 

Spring wheat closed three cents lower this morning with the July contract trading a ten cent range.  The market was lower on spillover weakness from the corn market.  The USDA report lowered old crop wheat exports by 20 million bushels to 965 million bushels and lowered food use by 5 mil. To 960 mil. Bu. which resulted in a 20 million bushel increase in old crop wheat carryout to 872 million bushels.  Look for lower trade today following the weakness in the corn 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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$15.10$14.65$14.22
CZ21 Oct21$6.45$6.25$5.83
MWZ21 Dec21$8.40$8.10$7.69
Old Crop PremiumNew Crop TargetTrigger Date
0.328.40 MWZ2111/19/21
0.4515.80 SX2110/22/21
0.356.40 CZ2111/19/21

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.

Morning Market Wire

Tuesday May 11, 2021                                               By: Eric Peterson

Corn prices were mixed overnight, falling lower off the open.  Prices have since pulled higher for old crop contracts but are still experiencing pretty uneventful trade.  Corn planting progress came in yesterday afternoon at 67% planted, in line with estimate and well ahead of the five year average of 52%.  Look for mostly quiet trade today as the market positions itself in front of tomorrow’s USDA report. 

Soybeans were higher overnight as the old crop/new crop gap continues to widen.  The USDA’s crop progress report showed farmers are 42% complete with soybean planting, ahead of the five year average of 22%.  Dr. Cordonnier raised his estimate for Brazil’s soybean crop by 1.0 million tons to 134 million tons, citing strong yields in Rio Grande do Sul.  Look for a quieter day today as the market awaits tomorrows report. 

Spring wheat bounced higher overnight as the market attempts to regain some of yesterday’s sharp losses.  Support also stems from a weakening U.S dollar.  The USDA reported yesterday that U.S spring wheat is now 70% planted, ahead of the five year average of 51%.  Northern wheat areas remain hit or miss on precipitation, but some are likely seeing some improvement. Look for slightly higher trade today erasing some of yesterday’s losses. 

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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$15.10$14.65$14.15
CZ21 Oct21$6.75$6.60$6.12
MWZ21 Dec21$8.75$8.25$7.70
Old Crop PremiumNew Crop TargetTrigger Date
0.378.60 MWZ2111/19/21
0.2815.80 SX2110/22/21
0.306.40 CZ2111/19/21

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.

Morning Market Wire

Monday May 10, 2021                                               By: Eric Peterson

Corn gapped lower overnight trading lower the entire overnight session.  The market seems to be lower on profit taking after hitting eight year highs last week.  Last week’s Commitment of Traders report showed that corn specs increased their net long by 18,933 contracts to a new total of 354,464 contracts.  Look for mostly lower trade today as traders are seen squaring up their positions in front of this week’s USDA report.     

Soybeans traded lower the majority of the session but were able to close a couple cents higher.  Weakness came overnight on profit taking after last week’s rally.  Planting pace should see another big jump this week and we should see the first glance of emergence.  Look for mostly lower trade today as traders square up positions in front of this week’s USDA report.   

Spring wheat was lower overnight following the weakness in corn and soybeans.  Scattered showers forecasted for parts of North Dakota also provided weakness.  The USDA update this afternoon will give us a fresh look at how the Good/Excellent rating changes in winter wheat.  Look for weaker trade today on profit taking after the recent rally.    

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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$15.10$14.65$14.29
CZ21 Oct21$6.75$6.60$6.26
MWZ21 Dec21$8.75$8.25$7.91
Old Crop PremiumNew Crop TargetTrigger Date
0.378.60 MWZ2111/19/21
0.2815.80 SX2110/22/21
0.306.40 CZ2111/19/21

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.

Morning Market Wire

Thursday May 6, 2021                                               By: Eric Peterson

Corn trade higher overnight hitting new contract highs yet again.  December corn broke through the $6.00 mark hitting as high as $6.18 overnight. Fund length is estimated at 406k contracts.  Rumors circulated that China is shopping for new crop corn from the U.S. Their March imports of U.S ethanol was reportedly their second highest ever.  Look for continued strength today on continued dryness. 

Soybeans trade higher overnight hitting new contract highs.  Soybeans followed the strength in the corn and soyoil markets.  Fund length is estimated at 192k contracts, meal at 57k and soyoil at 104k contracts.  Look for continued strength today following the corn market.            

Spring wheat was mixed overnight as dryness remains a major concern.  Minneapolis wheat made new highs form July 21-July 22. Spring wheat planting progress is expected be near 65-75% complete by next Monday.  Look for continued strength today as the Northern plains remain very dry. 

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.

Morning Market Wire

Tuesday May 4, 2021                                               By: Eric Peterson

Corn traded higher overnight with the July contract closing six cents off the overnight high.  Strength came on tightening supplies and ongoing dryness in Brazil.  Crop progress was reported at 49% complete, compared to 17% last week, 48% last year and a five year average of 36%.  Look for continued strength today on the dry weather in South America.        

Soybeans saw double digit gains this morning after a slow start last night.  However, the market is still well off contract highs.  Support came overnight from ongoing firmness in the vegoil markets.  Crop progress was reported last night at 24% complete, compared to 8% last week, 21% last year and 11% five year average.  Look for continued strength today.          

Spring wheat higher overnight following the strength in the corn market.  The USDA pegged spring wheat planting at 49% complete well ahead of last year’s pace of 27% and the five year average of 32%.  Look for continued strength today as dryness in the Northern Plains remains a major concern.    

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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.90$14.25$13.54
CZ21 Oct21$6.30$5.95$5.69
MWZ21 Dec21$8.40$8.05$7.68
Old Crop PremiumNew Crop TargetTrigger Date
0.378.60 MWZ2111/19/21
0.2815.80 SX2110/22/21
0.306.40 CZ2111/19/21

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.

Morning Market Wire

Thursday April 29, 2021                                               By: Eric Peterson

Corn was mixed overnight, and currently old crop is trading higher and new crop lower.  The market continues to chatter about supply concerns and dryness in South America.  Old crop demand remains strong, which threatens to tighten further the old crop supply.  Look for mixed trade today as supplies tighten but planting continues at a rapid pace.      

Soybeans traded higher overnight with the July contract closing nine cents higher and the November contract up a fraction of a cent.  The old/new crop spread continues to widen on tight supply and strong demand vs. large acres and ability to rebuild the U.S balance sheet.  All contracts sit well below the contract highs from only few days ago.  Look for the continued strength to continue led by old crop.       

Spring wheat was slightly higher overnight after yesterday’s setback.  Market was lower yesterday on profit taking as conditions remain very dry.  Wheat seems to be a follow of corn and soybeans lately, despite the drought story that has developed across the northern plains and Canada.  Look for higher trade to start the day 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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.75$13.85$13.28
CZ21 Oct21$6.10$5.85$5.44
MWZ21 Dec21$8.20$7.95$7.44
Old Crop PremiumNew Crop TargetTrigger Date
0.37$8.30 MWZ2111/19/21
0.2815.60 SX2110/22/21
0.306.20 CZ2111/19/21

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.

Morning Market Wire

Wednesday April 28, 2021                                               By: Eric Peterson

Corn saw follow through weakness from yesterday with the July contract 43 cents off yesterday’s high.  Technically, corn still looks overbought as the July contract has an RSI of 76.3%.  Generally, an RSI of 70% or higher can be considered overbought.  Look for mostly lower trade today as corn planting pace should pick up this week as warmer temps set in across the corn belt.    

Soybeans were weaker overnight as the bull market seems to be taking a break for now on profit taking.  The market was due for a setback after the extreme strength earlier this week.  The July contract is nearly 70 cents off yesterday’s highs.  It is still early for soybean planting, but nothing now looks like it will be a big issue to get the crop in the ground.  Look for mostly weaker trade today.      

Spring wheat was lower overnight on follow through weakness from yesterday.  The forecast for the winter wheat growing regions show warmer than average temps and below average chances for precipitation.  Spring wheat regions continue to have very dry conditions with a chance for rain in Eastern ND that likely won’t amount to much. 

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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.75$13.85$13.28
CZ21 Oct21$6.10$5.85$5.46
MWZ21 Dec21$8.20$7.95$7.43
Old Crop PremiumNew Crop TargetTrigger Date
0.378.30 MWZ2111/19/21
0.2815.60 SX2110/22/21
0.306.20 CZ2111/19/21

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.

Morning Market Wire

Tuesday April 27, 2021                                               By: Eric Peterson

Corn traded higher overnight with the July contract gapping higher off the open but closing this morning 22 cents off the session high.  After yesterday’s limit higher the expanded daily limit is 40 cents today.  A report from Rueters indicated that Asian feed manufactures are buying more wheat from Australia and the Black Sea region for livestock rations as corn prices continue to get more expensive.  Look for continued strength today led by old crop. 

Soybeans were higher overnight, the May contract breaking above $16.00, a level not seen on the front month since July 2013.  Soy products are higher this morning with the May soyoil contract limit up.  Look for continued strength today as the high prices attempt to slow demand.          

Spring wheat traded higher overnight hitting fresh contract highs once again.  North Dakota dryness remains a concern, Canada and Montana are dry as well and need rains.  The USDA showed a decline in winter wheat conditions, dropping 4% in the good/excellent from last week.  Look for continued strength today led by Kansas City 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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.90$14.00$13.59
CZ21 Oct21$6.30$5.95$5.65
MWZ21 Dec21$8.40$8.05$7.68
Old Crop PremiumNew Crop TargetTrigger Date
0.378.50 MWZ2111/19/21
0.2815.80 SX2110/22/21
0.306.40CZ2111/19/21

Morning Market Wire

Monday April 26, 2021                                               By: Eric Peterson

Corn traded higher overnight with the May contract picking up 70 cents in just the last week.  All contracts saw new contract highs last night with some leaving gaps off the open.  Demand remains strong for both feed and exports.  Look for mostly higher trade today on strength in old crop.   

Soybeans were stronger overnight with the July contract closing nine cents higher but fourteen cents off the session highs.  New contract highs were made in all soybean contracts.  U.S weather remains cool and dry.  Spec funds bought an estimated 30,963 contracts of soybeans, bringing them to a net long of 132,988 contracts.  Look for higher trade today led by old crop prices.        

Spring wheat traded higher overnight with the July contract closing at $7.43, a fraction off the overnight high.  The strength in wheat is related to the continued dryness in many wheat producing areas within the U.S., as well as strength in the corn market.  Look for the overnight strength to continue 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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.90$14.00$13.49
CZ21 Oct21$6.30$5.95$5.62
MWZ21 Dec21$8.35$8.00$7.51
Old Crop PremiumNew Crop TargetTrigger Date
0.378.50 MWZ2111/19/21
0.2815.80 SX2110/22/21
0.306.40 CZ2111/19/21

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.

Morning Market Wire

Thursday April 22, 2021                                               By: Eric Peterson

Corn saw follow through strength form yesterday reaching new contract highs yet again, this time, in both the old and new crop contracts.  July corn reached $6.17 with December corn hitting $5.44.  Corn continues to draw strength on weather worries for the newly planted crop, strong demand for corn, and tightening supplies.  Prices are drawing additional strength from spillover strength from soybeans. 

Soybeans traded higher overnight but closed ten cents off the session highs.  Nearby soybean futures pushed above the $15.00 mark, with several contracts making new highs.  The November contract reached $13.27.  The market broke though major trend lines on yesterdays price action and with the strong follow through overnight, there appears to be additional upside.      

Spring wheat traded higher overnight with Minneapolis wheat continuing to set new contract highs with the May contract reaching $6.88.  Cold weather continues to be a concern for many in the winter wheat growing regions as temperatures dip into the low 20s.  Look for mostly higher trade today as the extreme dryness in the spring wheat territory is keeping Minneapolis wheat well supported.        

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 BonusDaily Price PlusFutures at 8:00am
SX21 Oct21$14.10$13.35$13.20
CZ21 Oct21$5.90$5.55$5.40
MWZ21 Dec21$7.75$7.40$7.03
Old Crop PremiumNew Crop TargetTrigger Date
0.257.70 MWZ2111/19/21
0.3515.00 SX21 10/22/21
0.355.60 CZ2111/19/21

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.

© 2021 CHS Inc.