Posts By: Eric Peterson

Morning Market Wire

Friday September 20, 2019 by: Eric Peterson

Corn traded weaker overnight as overall U.S weather is mostly favorable and we head into both grain and silage harvest. Corn traded slightly higher yesterday closing at the high end of the trading range. Strength came from a better than expected export sales report. Export sales were excellent at 1,464,600mt, the biggest weekly sales since the end of February. Look for slightly weaker trade this morning on a lack of fresh news.

Soybeans closed three cents lower this morning giving back some of the gains from yesterday. November Soybeans are just above the 100 day moving average of $8.86. This level will The market found strength yesterday on good export sales and optimism regarding U.S/China relations. Look for weaker trade today as it seems China has taken a break from new U.S sales.

Spring wheat continued to rally overnight closing the session three cents higher. Support comes from crop concerns in Argentina and Australia. U.S harvest results for spring wheat continue to show extremely poor quality. Falling numbers are very low and will have to be delivered into the feed channel. Look for higher trade today as Minneapolis wheat continues to be the price leader.

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
SH20(Mar)$9.35$9.32$9.18
CH20(Mar)$3.90$3.85$3.78
MWH20(Mar$5.32$5.25$5.21

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
.185.80 MWZ2011/20/2020
.2510.00 SX2010/23/2020
.204.10 CZ2011/23/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

2019 Soybean DP Program

DP Service Charge @ 7 cents/bushel per month with a 21 cents minimum charge.

DP Storage will require the full delivery of the assigned bushel amounts. Any excessive overrun bushels of the contract will be CASH unless you have a contract in place.

ALL DP CONTRACTS MUST BE SIGNED IN ADVANCE OF DUMPING

DP storage may be cutoff at any time, but we will honor committed bushels on contract. Thus meaning, if our DP Storage space is at capacity the DP Storage program will be put to an end.

All grain coming in not on a contract will be CASH

CASH will be priced @ 9:00 a.m. on the following days open market.

-ALL OTHER COMMODITIES ARE CASH ONLY-

Talk with you local station Manager on the options for harvest and that you are fully aware of the programs. Thank you, CHS

Morning Market Wire

Tuesday September 17, 2019 by: Eric Peterson

Corn traded lower overnight after a favorable progress report yesterday afternoon. The latest crop ratings report has corn at 55% good/excellent. Corn harvest is now underway at 4% complete, behind the five year average of 7%. Look for mostly lower trade today as conditions may not be as bad as many think.

Soybeans closed six cents lower this morning two cents off the overnight low of $8.91. The latest crop rating report has soybeans at 54% good/excellent which down 1% from last week. Last year at this time the crop rating was at 68%. Look from mostly lower trade today on a lack of demand and improving conditions.

Spring wheat traded lower overnight following the weakness in the corn and soybean markets. Northern spring wheat areas continue to struggle as quality has become a major issue. The USDA has spring wheat harvest at 76% complete behind the five year average of 93%. The USDA also reported winter wheat seeding at 8% complete. Look for slightly lower trade today on spillover weakness from corn and soybeans.

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
SH20 (Mar)$9.35$9.32$9.22
CH20 (Mar)$3.90$3.85$3.82
MWH20(Mar$5.36$5.25$5.20

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
0.15$5.20 MWH202/21/2020
0.31$9.90 SX2010/23/2020
0.21$4.10 CZ2011/23/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

Morning Market Wire

Thursday September 12, 2019 by: Eric Peterson

Corn closed a fraction lower higher this morning ahead of today’s USDA report. The average trade estimate for today’s report is 167.2bpa with estimates ranging from 163.0 to 171.5bap. The USDA was 169.5bpa on the August report. The U.s corn production average estimate is 13.672 billion bushels, with estimates ranging from 13.040 to 14.003 billion bushels. Look for mostly narrow trade ahead of today’s report.

Soybeans traded higher overnight ahead of today’s report. President Trump announced he will delay the 5% tariff increase to 30% on some of China’s goods by two weeks, now to be implemented October 15th, in a sign of good will ahead of trade talks. The average trade estimate for soybean yield on today’s report is 47.2 bpa, the USDA was 48.5 bpa in the August report. Look for mostly higher trade this morning following the tariff delay announcement.

Spring wheat bounced higher overnight following the strength in corn and soybeans. Continued rains on standing spring wheat remains a major quality concern. Traders don’t expect a lot of changes in today’s report but think any changes will be saved for the end of month Small Grains Summary. That may keep wheat a follower 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
SH20(Mar)$9.12$9.06$9.01
CH20(Mar)$3.83$3.76$3.73
MWH20(Mar$5.29$5.25$5.21

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
0.155.40 MWH202/22/2020
0.159.40 SH202/22/2020
0.253.70 CH202/22/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

Morning Market Wire

Wednesday September 11, 2019 by: Eric Peterson

Market Summary

Corn closed a fraction lower this morning after trading two sided in a narrow three cent range overnight. The 11-15 day weather forecast is starting to show a cooler pattern emerging around September 20th. Traders will be watching for confirmation of any patter change, because of the late maturity of this years’ crop. Look for mostly light trade today ahead of tomorrow’s USDA Supply and Demand report.

Soybeans were mostly weaker overnight with the November contract trading a five cent range. Technical resistance is at the 50 day moving average of $8.85. Strength came yesterday as rumors circulated that China plans to buy more U.S soybeans while they continue to engage in trade talks with the U.S. However, news reports today say soybeans and meat are not included in the break and markets are giving back some of those gains.

Spring wheat traded slightly weaker overnight as the oversold bounce may be over for now. The December contract is just below the 20 day moving average of $5.07. Tomorrow’s USDA report is not expected to effect the wheat market much as production will most likely not be changed until the next report on September 30th. Look for slightly lower 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 BonusDaily Price PlusFutures at 8:00am
SH20(Mar)$9.12$9.06$8.96
CH20(Mar)$3.85$3.76$3.73
MWH20(Mar$5.25$5.20$5.17

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
0.155.40 MWH202/22/2020
0.159.40 SH202/22/2020
0.253.70 CH202/22/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

Morning Market Wire

Monday September 9, 2019 by: Eric Peterson

We currently have a bid of -2.00z basis for less than 200 falling numbers, any pro, and less than 15% damage. Please bring in a sample before you haul.

Market Summary

Corn trade was mixed to weaker overnight as U.S weather continues to be a non-threat as an early end to the growing season frost event is not in the 8-14 day forecast. The USDA will release the September S&D report on Thursday at 11:00am. A Reuter’s poll of analysts has the average yield estimate at 167.2 bpa and 13.441 billion bushels of production. Look for mostly lower trade today as news remains bearish.

Soybeans traded lower overnight with the November contract closing at the overnight low of $8.55. Overall U.S weather remains mostly favorable as the upper Midwest gets some rain; September rains are usually favorable for soybeans. A Reuter’s poll of analysts has the average yield estimate at 47.2 bpa and 3.579 billion bushels of production for the USDA report this week. Look for mostly weaker trade today.

Spring wheat closed a fraction lower this morning as volume is light and news is routine. Overall, the wheat market still seems oversold. Last week, Stats Can confirmed large stocks, which seems to be a common global theme, especially across the Northern Hemisphere. It appears that rains could hamper the spring wheat harvest and give continued concern over grain and milling quality.

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
SH20(Mar)$8.92$8.88$8.83
CH20(Mar)$3.91$3.76$3.67
MWH20(Mar$5.18$5.14$5.09

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
.155.40 MWH202/22/2020
.159.40 SH202/22/2020
.253.70 CH202/22/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

Morning Market Wire

Friday September 6, 2019 by: Eric Peterson

We currently have a bid of -2.00z basis for >200 falling numbers, any pro, and less than 15% damage. Please bring in a sample before you haul.

Corn closed a fraction higher this morning after trading a narrow one cent range overnight. Prices consolidate just above contract lows from a few days ago as the market awaits for fresh news from the USDA next week. Private yield estimates are running slightly below the August USDA yield of 169.5 bpa, as a below average crop has been factored in for months.

Soybeans saw a small bounce overnight, recovering from some of yesterday’s losses. Overall demand for U.S soybeans remain quite strong, both domestic and global, as U.S exports are above projections. The U.S is getting business from countries that are not doing business with South America. Look for slightly higher trade today as the U.S crop needs more time.

Spring wheat closed a penny lower this morning as the market is not seeing any follow through strength after the past two sessions of gains. Wheat futures need to see a few more days of upside momentum to try to negate the poor technical outlook. Stats Can is out this morning with their July 31 stocks report, 5.2mmt of wheat expected, slightly below last year’s 5.91mmt. Look for sideways to lower trade as the follow through buying seems absent so far 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
SH20 (Mar)$9.05$9.00$8.92
CH20 (Mar)$3.85$3.80$3.72
MWH20 (Mar$5.24$4.20$5.15

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
.155.40 MWH202/22/2020
.159.40 SH202/22/2020
.253.70 CH202/22/2020

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

Morning Market Wire

Thursday September 5, 2019 by: Eric Peterson

We currently have a bid of -2.00z basis for >200 falling numbers, any pro, and less than 15% damage. Please bring in a sample before you haul.

Market Summary

Corn saw a small bounce overnight, after trading contract lows yesterday. Weather forecasts appear to be favorable through mid-month, giving the crop time to develop. Analyst groups begin to offer their private survey results on yield and production ahead of next week’s USDA report. Yesterday saw estimates released of 167.71 and 168.4bpa, both are under the current USDA estimate of 169.5bpa. Look for stronger trade this morning.

   Soybeans closed a penny higher this morning after trading two sided overnight. U.S weather remains generally non-threatening and favorable for development. Cool daytime highs are a concern across the northern region though any threat of a frost is currently absent from the forecasts. Look for slightly higher trade as the U.S crop needs time without a frost event.

Spring wheat saw follow through strength overnight after closing seven cents higher yesterday. The strength in wheat is most likely technical, as it pauses after a major sell off. Weather across the northern plains remains a disrupter to the remaining spring wheat harvest as quality is becoming a major concern. Look for stronger trade today as we get some follow through buying.

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
SH20(Mar)$9.09$9.05$9.02
CH20(Mar)$3.85$3.80$3.74
MWH20(Mar$5.20$5.15$5.13

Spring Wheat Protein Scales

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

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 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.

  

Morning Market Wire

Wednesday September 4, 2019 by: Eric Peterson

Market Summary

Market Summary

We are seeing Falling Numbers and Sprout Damage issues please bring a sample in before you haul.

Corn closed a fraction higher this morning with the December contract trading a narrow two cent range overnight. Technically, the December contract is very close to the contract low of $3.60. The next level of support will likely be $3.50. Yesterday’s crop progress report showed 81% of the crop is in the dough stage, behind the five year average of 93%. The crop is 41% dented, behind the five year average of 63%. Look for slightly higher trade today.

Soybeans traded two sided overnight closing the session three cents higher. The USDA crop progress report showed that 86% of the crop is setting pods, which is below the five year average of 96%. U.S export offers remain competitive and below both Argentina and Brazil offers. The tariffs imposed by China on U.S bean imports make U.S uncompetitive against tariff free soybeans from South America. Look for higher trade today with decent U.S weather

Spring wheat traded higher overnight bouncing off contract lows from yesterday. The USDA estimates U.S spring wheat harvest at 55% complete, well behind the average pace of 78% harvested. Montana is estimated at 46% harvested and North Dakota at 52% 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.)

CHS Drayton Morning Market Wire (1/23)

We will be hosting a Marketing Meeting Thurs. Jan 25th 1:00pm at Hastings Landing, lunch will be served.  We will be giving a market update and going over Compass contracts.  Please call the office to RSVP

Corn was weaker overnight as it appears the March contract wants to hang around the $3.50 mark. The market remains range bound from $3.45 to $3.55. The fifty day moving average is at $3.52. Large spec funds are short an estimated 252k, which could lead to a short covering rally. Look for slightly higher trade today on South American weather concerns.

Soybeans traded higher overnight on dryness in Argentina which triggered some fund buying. The market traded a six cent range overnight with the March contract closing just below the session high of $9.88. Hot and dry weather in Argentina has affected early planted soybeans which are now in the flowering stage. The forecast is expected to remain dry through early February. Look mostly higher trade today as the market has closed higher for seven consecutive sessions.

Spring wheat closed a penny higher this morning after trading a narrow two cent range overnight. Yesterday the market found support on technical selling and short covering. However, gains continue to be limited as the Southern plains received adequate moisture over the weekend. Look for mixed 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
SX18 (Nov.) $10.45 $10.35 $10.03
CZ18 (Dec.) $4.06 $4.00 $3.85
MWZ18 (Dec.) $6.67 $6.50 $6.32

 

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
0.23 6.30 MWZ18 8/22/2018
0.25 10.45 SX18 10/24/2018
0.10 4.05 CZ18 11/14/2018

 

 

Futures markets as of 8:30 AM
Minneapolis Wheat: MWEH18 6.08 +0.01
Kansas City HRW: KWEH18 4.28 0.00
Soybeans: SH18 9.87 +0.03
Corn: CH18 3.51 -0.01

 

CHS Drayton Cash Prices
Spring Wheat: 5.83 -0.25 basis Jan Delivered Drayton
Winter Wheat: 3.53 -0.75 basis Jan Delivered Drayton
Corn: 2.91 -0.60 basis Jan Delivered Drayton
Soybeans: 8.97 -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.

 

 

© 2019 CHS Inc.