Thursday July 30, 2020 By: Eric Peterson
Corn traded two sided overnight with the September contract closing unchanged. Ethanol production was surprisingly higher. Both the September and December contract are nearing contract lows. December is 4-5 cents away from the contract low of $3.222. Production was 50,000 bpd to 958,000 bpd. Production is now back to pre-covid levels we last saw in September. Look for the corn market to hover around unchanged without much market moving news this morning.
Soybeans were weaker overnight with the November contract trading a six cent range. Technically, the next level of support is at the 50 day moving average of $8.78. Export sales for new crop soybeans were a surprise at 3,344,200 compared to estimates of 1,500,000-2,000,000 metric tonnes. Look for continued weaker trade with underlying support from a big export number.
Spring wheat continues its choppy trade from one day to the next. The overall market appears rangebound without a clear direction. The market seems to be finding some support on global crop concerns. Both the French and Russian wheat crops could see a significant reduction. Look for slightly lower trade as the market appears rangebound.
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|
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.