Tuesday May 11, 2021 By: Eric Peterson
Corn prices were mixed overnight, falling lower off the open. Prices have since pulled higher for old crop contracts but are still experiencing pretty uneventful trade. Corn planting progress came in yesterday afternoon at 67% planted, in line with estimate and well ahead of the five year average of 52%. Look for mostly quiet trade today as the market positions itself in front of tomorrow’s USDA report.
Soybeans were higher overnight as the old crop/new crop gap continues to widen. The USDA’s crop progress report showed farmers are 42% complete with soybean planting, ahead of the five year average of 22%. Dr. Cordonnier raised his estimate for Brazil’s soybean crop by 1.0 million tons to 134 million tons, citing strong yields in Rio Grande do Sul. Look for a quieter day today as the market awaits tomorrows report.
Spring wheat bounced higher overnight as the market attempts to regain some of yesterday’s sharp losses. Support also stems from a weakening U.S dollar. The USDA reported yesterday that U.S spring wheat is now 70% planted, ahead of the five year average of 51%. Northern wheat areas remain hit or miss on precipitation, but some are likely seeing some improvement. Look for slightly higher trade today erasing some of yesterday’s losses.
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|
|Old Crop Premium||New Crop Target||Trigger Date|
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