Morning Market Wire

Monday Feb 8, 2021                                               By: Eric Peterson

Corn traded higher the majority of the night with the March contract trading a six cent trading range, unable to test last week’s high of $5.58.  Fresh news is limited this morning as rumors circulate of more Chinese interest and a tightening U.S pipeline.  Look for slightly higher trade today as the market positions itself before tomorrow’s WASDE report.      

Soybeans traded two sided overnight but were able to close seven cents higher this morning.  The market is continuing its sideways pattern as we are well off contract highs.  The market is expecting the February WASDE report to show a reduction to ending stocks.  The range of estimates is 102-140 million bushels with the average estimate 119 million compared to the January estimate of 140 million bushels.  Look for mostly mixed trade today ahead of tomorrow’s report. 

Spring wheat traded higher overnight with the March contract closing at the overnight high of $6.33.  Cold weather this week is raising some concern about winter kill but with increased snow cover later in the week improves the moisture prospects for spring.  The WASDE report is expected to show minor changes tomorrow.  Look for higher trade today, following the strength from overnight.      

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
SX21 Oct21$12.00$11.75$11.69
CZ21 Oct21$4.85$4.65$4.53
MWZ21 Dec21$6.85$6.65$6.61
Old Crop PremiumNew Crop TargetTrigger Date
0.246.80 MWZ2111/19/21
0.2514.00 SX21 10/22/21

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