CHS Drayton: Afternoon Market Wire (03/27)

Corn traded lower today on ample world supplies and spillover weakness in the wheat markets.

Soybeans closed four cents lower today with pressure from big crop ideas out of South America and a significant increase in U.S planed acres for 2017.  The average trade estimate for U.S 2017 soybean plantings is 88.21 million acres, up from 83.43 million acres last year.

Wheat traded lower the majority of the day, closing down three cents at $5.32.  Lower trade came on improved chances of moisture for the U.S Southern Plains this 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 Bonus Daily Price Plus Futures at 1:30pm
SX17 (Nov.) $10.33 $10.10 $9.70
CZ17 (Dec.) $4.11 $4.00 $3.80
MWH18 (Mar.) $5.87 $5.75 $5.67

 

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
0.17 5.75 MWH18 2/21/2018
0.35 10.00 SX17 10/25/2017
0.15 4.00 CZ17 11/22/2017

 

Futures markets as of 1:30 PM
Minneapolis Wheat: MWEK17 5.32 -0.03
Kansas City HRW: KWEH17 4.20 -0.07
Soybeans: SK17 9.71 -0.04
Corn: CK17 3.56 0.00
       

 

CHS Drayton Cash Bids
Spring Wheat: 4.77 -0.55 basis March
Winter Wheat: 3.15 -1.05 basis March
Corn: 2.86 -0.70 basis March
Soybeans: 8.53 -1.18 basis March
           
             

Spring Wheat Protein Scales

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

-.06 cents ea. 1/5 down from 13.0% to 12.0%

+.04 cents ea. 1/5 from 14.0% to 15.0%

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