Posts By: Eric Peterson

Morning Market Wire

Thursday Aug 6, 2020                                               By: Eric Peterson

Corn was mixed to lower overnight as the December contract saw a narrow two cent range. Currently, the December contract is just above the contract low of $3.57.  Weekly ethanol production dropped 27,000 barrels per day to 931,000 bpd and inventories were unchanged at 20.3 million barrels.  Corn continues to consolidate at the low end of the range after Tuesday’s sharp decline.    

Soybeans traded slightly weaker overnight as overall the crop looks decent with few threats.  Estimates for USDA yield are almost all above the current 49.8 bushels per acre.  Brazil will begin to plant soybeans in mid-September, harvest in January, so the U.S window is quite narrow.  Look for slightly lower trade as soybeans begin to trend downward.  The November contract closed below the 50 day moving average for first time since early June.    

Spring wheat continues its mixed trade with a downward trend.  The September contract broke $5.00 overnight setting a new contract low.  The Northern hemisphere is seeing harvest and increasing supplies.  Look for weaker trade today as a decent sized U.S crop pressures the market.       

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 Aug 3, 2020                                               By: Eric Peterson

Corn closed a penny higher this morning with the September contract trading a narrow three cent range.  Today’s condition report is expected to show a 1% improvement.  The announced Friday morning a sale of 114.3tmt corn to Mexico for the 20/21 crop year.  Look for mixed trade today as expectations of a large crop continue to grow, but prices are again finding some buying interest near contract lows.    

Soybeans traded two sided overnight as the November contract once again nears the $9.00 mark.  U.S weather is really not too bad, although some areas could use a shot of rain.  Overall, still feels like the crop could get bigger.  Today’s conditions report is expected to show a 1% good/excellent increase.  Look for slightly higher trade today as November soybeans filled the gap lower they made July 28th and are testing the $9.00 resistance level. 

Spring wheat opened the overnight session lower as the September contract nears the contract low of $5.06.  The U.S wheat supply continues to grow as we harvest winter wheat and spring wheat.  As expected we are beginning to see the Russia production estimates increase.  Look for weaker trade today as all three wheat classes gapped lower overnight.     

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
SH21 Jan21$9.21$9.15$9.01
CH21 Jan21$3.48$3.45$3.39
MWN21 June21$5.81$5.67$5.55

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 July 30, 2020                                               By: Eric Peterson

Corn traded two sided overnight with the September contract closing unchanged.  Ethanol production was surprisingly higher.  Both the September and December contract are nearing contract lows.  December is 4-5 cents away from the contract low of $3.222.  Production was 50,000 bpd to 958,000 bpd.  Production is now back to pre-covid levels we last saw in September.  Look for the corn market to hover around unchanged without much market moving news this morning. 

Soybeans were weaker overnight with the November contract trading a six cent range.  Technically, the next level of support is at the 50 day moving average of $8.78.  Export sales for new crop soybeans were a surprise at 3,344,200 compared to estimates of 1,500,000-2,000,000 metric tonnes.  Look for continued weaker trade with underlying support from a big export number.       

Spring wheat continues its choppy trade from one day to the next. The overall market appears rangebound without a clear direction.  The market seems to be finding some support on global crop concerns.  Both the French and Russian wheat crops could see a significant reduction.  Look for slightly lower trade as the market appears rangebound. 

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
SH21 Jan21$9.21$9.15$8.88
CH21 Jan21$3.52$3.52$3.38
MWN21 June21$5.84$5.67$5.56

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

Friday July 24, 2020                                               By: Eric Peterson

Corn closed a penny lower this morning after trading a narrow three cent range overnight.  December corn remains range bound but it is now closer to the $3.42 to $3.43 gap than the contract low of $3.22.  Overall U.S weather remains non-threatening with extended forecast showing normal to below temps and precipitation of below normal north to above normal in the Southern corn belt areas.  Look for mostly steady to mixed trade to end the week.   

Soybeans closed a fraction higher this morning with the November contract closing three cents off the overnight high.  The market continues to find support on increasing China demand.  The U.S is seeing more China demand that last year or two, they are on track to import a record number of soybeans.  Look for steady to higher trade as we see if the November contract can close above the $9.00 mark.   

Spring wheat closed three cents higher this morning as Minneapolis wheat continues its choppy trade.  Seeing some global issues as dryness continues in Argentina as they plant or have planted already.  France is 71% harvested of its soft wheat crop but overall the crop is smaller than last year.  Look for higher trade to finish off the week. 

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
SH21 Jan21$9.38$9.15$9.01
CH21 Jan21$3.61$3.52$3.46
MWN21 June21$5.82$5.70$5.57

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 are 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 PremiumNew Crop TargetTrigger Date
0.125.70 MWH212/20/21
0.159.40 SH212/20/21
0.093.60 CH212/20/21

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 July 22, 2020                                               By: Eric Peterson

Corn closed a penny higher this morning as the December contract trades a relatively narrow 2 ½ cent trading range overnight with little to no fresh news. Corn continues to trend lower after Monday’s crop progress report.  We did see a flash sale yesterday to an unknown buyer but that had little affect on the market.  Look for lower trade today as we are closer to the lows than the short term top above at $3.60.        

Soybeans traded two sided overnight with the November contract trading a ten cent range.  Overall U.S weather looks favorable for crop development as temps moderate and rain has filled almost every dry spot in the U.S.  Look for slightly lower trade today as November soybeans struggle to stay above the $9.00 mark.   

Spring wheat closed a fraction lower this morning consolidating at the low end of the recent trading range.  Funds continue to take profits after the sharp rally early last week.  U.S winter wheat harvest was reported at 74% completed compared to a five year average of 66%.    Look for mostly lower trade today as the funds add their short position.    

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 July 21, 2020                                               By: Eric Peterson

Corn closed two cents lower this morning as U.S weather remains mostly favorable for crop development.  There seems to be only a few scattered spots threatened by being too warm and too dry.  Yesterday’s crop condition report came in at 69% good/excellent, unchanged from last week.  59% silking vs. 54% on the five year average.  Look for mostly lower trade today on pressure from decent weather and a sharply lower wheat market.      

Soybeans traded lower overnight as selling off what was gained yesterday.  Overall U.S weather is favorable, though warmer temps are forecasted for much of the Midwest for another week.  Soybean crop condition rating was up 1 point to 69% good/excellent.  64% blooming versus 57% average.  Look for slightly lower trade today on a technical correction after the recent rally. 

Spring wheat closed a fraction lower this morning consolidating at the low end of the recent trading range.  Funds continue to take profits after the sharp rally early last week.  U.S winter wheat harvest was reported at 74% completed compared to a five year average of 66%.    Look for mostly lower trade today as the funds add their short position.    

Price Builder BonusDaily Price PlusFutures at 8:00am
SH21 Jan21$9.46$9.20$8.94
CH21 Jan21$3.83$3.62$3.43
MWN21 June21$5.86$5.74$5.55

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 are 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 PremiumNew Crop TargetTrigger Date
0.105.70 MWH212/20/21
0.159.40 SH212/20/21
0.093.60 CH212/20/21

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 July 20, 2020                                               By: Eric Peterson

Corn attempted to trade higher early last night but faded into the session as overall U.S weather looks mostly favorable.  Technical support for September corn is just below at $3.26 with resistance at $3.33 the contract low is $3.15.  Look for September corn to try to fill the gap from $3.34 to $3.36.  Look for two sided trade as export business has picked up but U.S weather looks to be non-threatening.    

Soybeans traded higher overnight on spreading against corn.  China has picked up buying of U.S soybeans but are still behind pre trade war volumes.  The November contract is once again close to $9.00 and nearing the recent high of $9.12.  The 50 day and 100 day moving average are below at $8.70 and $8.71.  Look for slightly higher trade today on technicals as the November contract has been filling gaps from couple of weeks ago.                   

Spring wheat closed a fraction lower this morning consolidating at the low end of the recent trading range.  Funds continue to take profits after the sharp rally early last week.  U.S winter wheat harvest was 68% completed last week.  Harvest is expected to be 75-80% complete on today’s report.  Calls are for 1-3 lower 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
SH21 Jan21$9.46$9.20$8.82
CH21 Jan21$3.83$3.62$3.42
MWN21 June21$5.89$5.74$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 are 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 PremiumNew Crop TargetTrigger Date
0.105.80 MWH212/20/21
0.159.40 SH212/20/21
0.103.60 CH212/20/21

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 July 14, 2020                                               By: Eric Peterson

Corn traded higher overnight, rebounding after recent losses.  Prices turned higher on declines in the overall crop conditions.  Prices drew additional support with the emergence of the bargain buyers after sharp losses the past couple of days.  Crop conditions were reported at 69% good/excellent, down 2% from last week.  Look for higher trade today on a higher than expected crop report, but limited gains as the weather outlook is favorable. 

Soybeans traded higher overnight with the November contract trading a six cent range.  Support came on continued talk of China showing interest as well as decline in the soybean conditions.  U.S soybean conditions were reported at 68% good/excellent, down 3% from last week.  China’s soybean imports for June were reported at 11.16mmt, this compares to 9.38mmt in May.  However, many of those soybeans are still coming from South America.  Look for higher trade today on declining crop conditions.                 

Spring wheat rebounded overnight gathering support from declining crop conditions as well as global crop concerns.  Crop conditions were reported at 68% good/excellent down 2% from last week.  North Dakota was unchanged at 61% good/excellent.  However, there are concerns that SD, MN, ND, and the Canadian Prairies may have gotten too much rain.  The EU and Black Sea regions are also seeing declining crop ratings and crop losses.  Look for mostly higher trade today on crop concerns.   

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
SH21 (Jan21)$9.24$9.00$8.79
CH21 (Jan21)$3.70$3.62$3.49
MWN21 (June21)$5.97$5.74$5.65

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 are 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 PremiumNew Crop TargetTrigger Date
0.125.80 MWH212/20/21
0.129.40 SH212/20/21
0.103.60 CH212/20/21

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 July 13, 2020                                               By: Eric Peterson

Corn traded lower overnight with the September contract closing six cents lower.  Prices were lower on a wetter weather outlook and left over pressure from last week’s USDA report.  Friday’s WASDE report showed U.S corn ending stocks for 19/20 at 2.248 billion bushels versus the average trade estimated of 2.287 billion bushels.  The U.S corn yield was estimated at 178.5 bushels per acre versus the average estimate of 178.6.  Look for mostly lower trade today on favorable weather.      

Soybeans traded lower overnight on disappointing USDA data last week and improved weather outlook for the next couple of weeks.  The U.S soybean yield was estimated at 49.8 bushels per acre versus average estimate of 50.1.  Total production was estimated at 4.135 billion bushels versus the average estimate of 4.157 billion bushels.  Look for lower trade on favorable weather.               

Spring wheat was lower overnight following the weakness in corn and soybeans.  Today’s crop condition report is expected to show an improvement from last week.  Winter wheat harvest is expected to be near 65-70% complete.  Look for lower trade today on improving weather in the majority of the Northern Plains.       

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 July 7, 2020                                               By: Eric Peterson

Corn traded lower overnight on profit taking and position squaring.  Weather conditions are mostly favorable as yesterday’s crop condition report only showed a slight decline.  U.S corn conditions were at 71% good/excellent, down 2% from last week but still a decent rating.  Look for slightly lower trade today. 

Soybeans were higher to start the session last night but lower into the morning.  Support came on forecasts for heat and increasing Chinese demand.  However, pressure came as some weather models show higher chances for rains this week.  U.S crop conditions were unchanged at 71% good/excellent.  The average yield estimate for Friday’s report is 49.965 bushels per acre compared to 49.8 in June.  Look for mostly lower trade today on softer energy and related oil markets.           

Spring wheat traded two sided overnight with the September contract closing unchanged and currently about a nickel off contract lows.  Spring wheat conditions saw a 1% improvement including a 2% improvement in North Dakota.  The USDA put winter wheat harvest at 56% complete with activity expected to move to Nebraska, N Colorado and possibly South Dakota this week.  Calls are for mixed to lower traded on improved conditions.     

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
SH21 Jan 21$9.28$9.20$9.00
CH21 Jan21$3.82$3.75$3.62
MWN21 June21$5.85$5.74$5.58

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 are 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 PremiumNew Crop TargetTrigger Date
0.105.80 MWH212/20/21
0.229.40 SH212/20/21
0.223.60 CH212/20/21

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.

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