Thursday January 30, 2020 By: Eric Peterson
Corn traded lower overnight with the March contract closing down three cents. March corn should find support near the January low of $3.75. The market continues to slide as many are concerned about the spread of coronavirus and the cause it may have on an economic slowdown. Weekly exports were higher than expected at 1,234,700 compared to estimates ranging from 600,000 to 1,200,000 tonnes. Look for mostly lower trade today.
Soybeans were weaker overnight with the March contract closing at the session low of $8.85. This is the eighth day in a row of lower prices. The Brazilian real continues to weaken, trading at 4.2494. This is the weakest its been against the dollar since early December. Look for mostly lower trade today as the coronavirus continues to spread and its effect on demand is unknown.
Spring wheat traded lower overnight with the March contract trading a five cent range. All three wheat exchanges were lower for the third consecutive day. The unknown impact of coronavirus as well as thoughts that market is overbought continue to pressure prices. Look for weaker trade today with winter wheat seeing shaper losses than spring wheat.
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.)
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!
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