Monday December 2, 2019 by: Eric Peterson
Corn traded fractionally mixed overnight as fund position remains short and up to now don’t appear willing to cover. But the market remains susceptible to short covering at any time. A winter storm over the weekend continues to disrupt what remains of harvest, causing some fields to likely remain until spring. Look for mostly mixed trade today.
Soybeans are trading slightly higher despite seemingly little to no progress in the trade war with China. Weekend stories state that China wants a removal of tariffs for a successful Phase One deal, not just the removal of planned tariffs. The U.S is ready to impose an additional 15% tariff on $156B of Chinese good on December 15th. Look for slightly higher trade today.
Spring wheat traded weaker overnight. Both Chicago and KC markets consolidate at the top end of their higher trending trading ranges while Minneapolis wheat hovers 10-15 cents above contract lows. Look for slightly lower trade today as news remains light and routine.
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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