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 Bonus||Daily Price Plus||Futures at 8:00am|
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 Premium||New Crop Target||Trigger Date|
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.