CHS Drayton Morning Market Wire (11/29)

Corn closed a fraction lower this morning with the March contract trading a three cent range. Corn was two sided overnight after trading above the 10 day moving average but drifted negative into the break. Weekly export sales were very good for corn at1,266,000 tons. Look for mixed trade today as the market seeks direction ahead of this weekend’s G20 summit.

Soybeans traded lower overnight on profit taking after rallying the last two consecutive days. Anticipation of positive trade talks at the G20 summit this weekend has provided underlying support to the market. The announcement of an export sale of 268.748mt of soybeans to an unknown destination also provided support yesterday. Look for slightly lower trade today.

Spring wheat closed nearly unchanged this morning with the March contract trading a narrow two cent range overnight. Kansas City wheat has rallied its largest gain since November 11th, up eight cents. Look for slightly lower trade on thoughts of a bigger 2019 Russian wheat crop.

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 8:00am
SX19 (Nov) $9.87 $9.59 $9.33
CZ19 (Dec) $4.19 $4.15 $3.94
MWZ19 (Dec) $6.32 $6.24 $6.06


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
0.18 6.50 MWZ19 11/20/2019
0.26 10.00 SX19 10/23/2019
0.15 4.00 CZ19 11/20/2019



Futures markets as of 8:30 AM
Minneapolis Wheat: MWEH19 5.71 0.00
Kansas City HRW: KWEH19 4.92 0.00
Soybeans: SF19 8.84 -0.06
Corn: CH19 3.72 0.00


CHS Drayton Cash Prices
Spring Wheat: 5.31 -0.40 basis Nov Delivered Drayton
Winter Wheat: 4.12 -0.80 basis Nov Delivered Drayton
Corn: 3.12 -0.60 basis Nov Delivered Drayton
Soybeans: 7.44 -1.40 basis Nov Delivered Drayton


Spring Wheat Protein Scales

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

-.02 cents ea. 1/5 down from 13.0% to 12.0% (Max -0.20)

+.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 CHS Inc.