Morning Market Wire

Monday October 28, 2019 by: Eric Peterson

For now, we are not taking wheat at Drayton and the stations as we need to make room for corn and soybeans. Please call with any questions.

Corn closed a fraction lower this morning. Monday’s afternoon Crop Progress report showed corn is 41% harvested vs. 30% last week, behind the five year average of 61%. The harvested total of 41% was 2% below the average trade estimate of 43%. The crop was rated at 58% good/excellent compared to 56% last week. Look for slightly lower trade today as harvest begins to pick up.

Soybeans traded lower overnight with the November contract trading a five cent range. Bids have now rolled to January futures. Yesterday’s crop progress report had soybeans right at the average trade estimate of 62% vs. 46% last week and the five year average of 78%. Look for lower trade today as increased harvest last week is weighing on prices.

Spring wheat closed unchanged this morning with the December contract trading a narrow two cent range. The markets seem to be feeling some weakness as news remains light. Winter wheat plantings are at 85% complete compared to 77% last week and the five year average of 82%. Key winter wheat states were ahead of the planting pace over the last five years with the exception of Montana. Look for mostly lower trade today as the market is lacking any fresh news.

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
SX20 Oct20$10.26$10.00$9.69
CZ20 Oct20$4.25$4.16$4.05
MZ20 Dec20$6.06$5.95$5.79

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!

Old Crop PremiumNew Crop Target Trigger Date
0.236.20 MWZ2011/20/2020
0.2710.20 SX2010/23/2020
0.184.10 CZ2011/23/2020

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.

Morning Market Wire

Monday October 28, 2019 by: Eric Peterson

Corn traded lower the entire night closing two cents lower this morning. Harvest continued over the weekend in the western belt while the eastern belt continues to sty wet and see delays. Today’s progress report is expected show harvest at 40-45% complete, behind the five year average of 61%. Look for mostly quiet trade as the market seems content staying with the $3.75 to $4.00 range.

Soybeans found strength overnight with the November contract closing three cents higher this morning. First notice day is October 31st. Soybean harvest estimates are between 64% complete on the low end and 68% on the high end, the five year average is 76%. Look for two sided trade today as the market waits for news on the U.S/China trade war.

Spring wheat closed unchanged this morning with the December contract trading a narrow two cent range. The markets seem to be feeling some weakness as news remains light. Winter wheat will see its first crop rating this afternoon, with the good/excellent rating expected to come in at 54-55%.

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
SX20 Oct20$10.30$10.05$9.69
CZ20 Oct20$4.24$4.18$4.07
MZ20 Dec20$6.14$5.90$5.84

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.236.20 MWZ2011/0/2020
0.2810.20 SX2010/23/2020
0.184.10 CZ2011/23/2020

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.

Morning Market Wire

Wednesday October 23, 2019 by: Eric Peterson

Corn traded lower overnight as U.S harvest continues and adds we slowly build the U.S supply. Although forecasts are dry for the next 7 days, the Corn Belt will get much colder next week with snowstorms possible later this week. Chinese corn imports totaled 140,000MT in September and their calendar year total is now 33% more year over year. Look for slightly lower trade as December futures trend back towards $3.80.

Soybeans traded two sided overnight with the November contact trading a eight cent range overnight. Traders will be looking for confirmation this morning of rumors that China bought around 2MMT of soybeans yesterday. Forecasts suggest a drier pattern for much of the Northern Plains area over the next several days, which should allow for harvest activity to pick up again.

Spring wheat was weaker overnight as the market continues to need help from something; unless funds decide to make a move. Wheat prices continue to trend lower on winter wheat planting progress and another round of profit taking. Look for limited lower trade today as Minneapolis holds onto hopes of improving demand for good quality protein wheat and lack of country movement.

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
SX20 Oct20$10.32$10.10$9.72
CZ20 Oct20$4.29$4.18$4.08
MZ20 Dec20$6.13$6.00$5.86

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.256.20 MWZ2011/20/20
0.3010.20 SX2010/23/20
0.204.10 CZ2011/23/20

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.

Co-op ownership opens a world of opportunities

A farmer and CHS employee holding a tablet standing together in a wheat field discussing cooperative ownership

When you choose to do business with CHS, you are connected to a world of opportunities powered by local experts.

As the nation’s leading farmer-owned cooperative, CHS creates connections that help its owners build their operations and their communities.

In celebration of National Co-op Month, we dug deep into the cooperative model to reveal seven benefits of being an owner of CHS. Benefits that extend far past the field. Watch a video on the benefits of cooperative ownership.

(more…)

Morning Market Wire

Monday October 21, 2019 by: Eric Peterson

Corn traded two sided overnight with the December trading a relatively wide five cent range. Trade was lower to open last night but harvest looks to be delayed once again as a rain system moves across the U.S from Texas to North Dakota. The market remains susceptible to a short covering rally as funds are an estimated net short 119k as of 10/15. Look for mixed trade today as December futures remain stuck in the middle of its recent range of $3.80-$4.00.

Soybeans began the session the lower but rebounded higher as radar shows a system moving across that will likely slow and disrupt harvest activity. U.S/China trade talks are reportedly going well as we seem to be close to a partial phase one deal. Look for mostly higher trade today on harvest delays and global trade optimism.

Spring wheat traded two sided overnight following the strength in the corn and soybean markets. We have seen some recent harvest in North Dakota the past few days, but quality is challenged. Winter wheat planting continues to move along at a slower pace. A private analyst estimates 2020 winter wheat acreage will be 900,000 acres below 2019. Look for slightly higher trade today following corn and soybean markets.

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
SX20 Oct2020$10.23$10.00$9.76
CZ20 Oct2020$4.31$4.22$4.11
MZ20Dec20$6.30$6.15$5.92

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.286.20 MWZ2011/20/2020
0.3010.30 SX2010/23/2020
0.254.00 CZ2011/23/2020

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.

Morning Market Wire

Thursday October 17, 2019 by: Eric Peterson

Corn traded higher overnight with the December contract closing three cents higher. The market found support by China saying it wants a phased agreement as well as wheat markets turning higher. Harvest has been fairly slow as most focus on soybeans where they can. Look for mixed trade today with a lack of fresh news making things weak but wheat markets providing some support.

Soybeans traded higher overnight with the November contract closing five cents higher and five cents off the overnight high of $9.37. Support came overnight as China says they want a phased agreement as soon as possible, and states their hog herd will be back to normal next year. Currently, China’s hog herd is down 40% from last year. Look for mostly higher trade today as the market finds support on U.S-China trade deal optimism.

Spring wheat bounced higher overnight with the December contract closing three cents higher. December 2020 futures are once again at $6.00, something to pay attention to. The market found support on spillover strength from corn and soybeans as well as positive talks with China. Large global demand has increased in French and Black Sea futures giving support to U.S futures. Look for mostly higher trade today as global demand has picked up at elevated levels.

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
SX20 Oct2020$10.37$10.05$9.73
CZ20 Oct2020$4.31$4.22$4.10
MZ20 Dec20$6.39$6.15$6.00

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.316.20 MWZ2011/20/2020
0.3210.20 SX2010/23/2020
0.254.00 CZ2011/23/2020

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.

Morning Market Wire

Tuesday October 15, 2019 by: Eric Peterson

Corn traded lower overnight with the December contract closing at the overnight low of $3.93. The market was weaker overnight on a lack of fresh news regarding weather, crop reports, and China trade deal on top of a nice rally higher over the last few days. Today’s crop progress report is expected to show harvest around 22% complete vs. 15% last week and the five year average of 35%. Look for lower trade today on a lack of fresh news, giving the market a weaker tone.

Soybeans closed five cents lower overnight, with the November contract trading a five cent range overnight. The market was lower overnight on news that Chins and U.S need more time to talk and get phase one of the deal figured out. Today’s crop progress report is expected to show harvest around 25% complete vs. 14% last week and the five year average of 49%. Look for mostly lower trade today as we may be farther away from a trade deal than we originally thought last Friday.

Spring wheat traded lower overnight on spillover weakness from the corn and soybeans markets. Crop progress report out tonight is likely to show little harvest progress on spring wheat for Montana and North Dakota and what’s remaining likely wont get harvested at all. Winter wheat planting progress will be included as well. The first cold snap to the Southern Plains area over the weekend has raised concerns about damage to winter wheat. Look for slightly lower trade today on a lack of fresh bullish news.

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
SX20 Oct2020$10.32$10.05$9.70
CZ20 Oct2020$4.30$4.22$4.07
MZ20 Dec20$6.28$6.10$5.99

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.256.20 MWZ2011/20/2020
0.2910.20 SX2010/23/2020
0.164.10 CZ2011/23/2020

Spring Wheat Protein Scales

-.03 cents ea. 1/5 down from 14.0% to 13.0%

-.03 cents ea. 1/5 down from 13.0% to 12.0% (Max -.30)

+.02 cents ea. 1/5 from 14.0% to 15.0%

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.

Morning Market Wire

Monday October 14, 2019 by: Eric Peterson

Corn traded two sided overnight with the December contract trading a wide nine cent range. Corn hit a high of $4.02 overnight a level seen since August 12th. The large amount of snowfall in North and South Dakota has caused the corn a considerable amount of time needed in order to dry out. The true impact of this freeze and snow will not be known until the harvesters start rolling again. Look for mostly lower trade today.

Soybeans were mixed overnight with the November contract trading a fifteen-cent range. The November contact reached $9.45 overnight, the highest it has ben since June 18th. Support came when U.S and China trade talks improved with a phase 1 deal reportedly being reached. However, China wants more talks to take place before anything is signed causing futures to pull back off its highs from early in the overnight session. Look for weaker trade today on U.S/China trade agreement uncertainty.

Soybeans were mixed overnight with the November contract trading a fifteen-cent range. The November contact reached $9.45 overnight, the highest it has ben since June 18th. Support came when U.S and China trade talks improved with a phase 1 deal reportedly being reached. However, China wants more talks to take place before anything is signed causing futures to pull back off its highs from early in the overnight session. Look for weaker trade today on U.S/China trade agreement uncertainty.

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
SX20 Oct20$10.29$10.00$9.66
CZ20 Oct20$4.28$4.19$4.08
MZ20 Dec20$6.29$6.15$5.94

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!

Old Crop PremiumNew Crop Target Trigger Date
0.30$6.20 MWZ2011/20/2020
0.32$10.20 SX2010/23/2020
0.18$4.10 CZ2011/23/2020

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.

Morning Market Wire

Thursday October 10, 2019 by: Eric Peterson

Corn traded a narrow two cent range overnight ahead of today’s USDA October WASDE report. The average trade estimate for the U.S corn yield is 167.5bpa, harvested acres is estimated at 81.649 million acres, crop production is estimated at 13.684 billion bushels, the U.S 2019-2020 carryout is estimated at 1.784 billion bushels. Look for mostly steady trade as the market awaits the report.

Soybeans traded two sided overnight as the market looks for information regarding the progress of U.S and China talks. Conflicting reports have been emerging, creating some confusion to the market about if any progress has been made. The average trade estimate for yield is 47.3 bpa, harvested acres is estimated at 75.705 million acres, and crop production at 3.583 billion bushels. Look for mostly steady to higher trade ahead of today’s report.

Spring wheat traded higher overnight with the December contract closing just below the session high of $5.47. We still have some wheat standing in North Dakota and Montana, but the first 75% of harvest was very large, so losing some production could be good for the overall balance sheet. The average trade estimate for the 2019/2020 carryout is 1.015 billion bushels. Look for higher trade on poor weather and short covering.

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
SX20 Oct20$10.30$10.00$9.71
CZ20 Oct20$4.32$4.22$4.08
MZ20 Dec20$6.30$6.15$5.93

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!

Old Crop PremiumNew Crop TargetTrigger Date
0.306.20 MWZ2011/20/2020
0.3010.20 SX2010/23/2020
0.184.10 CZ2011/23/2020

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.

Morning Market Wire

Wednesday October 9, 2019 by: Eric Peterson

Corn traded a narrow range overnight, pausing briefly after making strong gains yesterday. December corn is creeping closer to its 200 day moving average of $4.01. Large spec funds and managed money funds are still carrying a large net short position, which makes the market susceptible to short covering. Look for slightly higher trade today on weather concerns.

Soybeans traded higher overnight on headlines about China and trade talks as well as weather ahead of tomorrow’s USDA report. There are rumors that China is supposedly talking about upping its U.S soybean purchases from 20mmt to 30mmt to aid in trade talks. 30mmt gets them closer to what could be considered normal pre the trade war. Look for continued strength today on trade talk optimism.

Spring wheat found strength overnight on quality concerns. North Dakota still has wheat standing in the field that may never get harvested; which could be friendly for the balance sheet long term. Look for mostly quiet trade today as there is still a general lack of fresh news to add strength to the market ahead of Thursday’s WASDE report.

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
SX20 Oct20$10.31$10.00$9.73
CZ20 Oct20$4.32$4.22$4.09
MZ20 Dec20$6.34$6.15$5.90

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!

Old Crop PremiumNew Crop TargetTrigger Date
.306.20 MWZ2010/20/20
.3010.20 SX2010/23/20
.184.10 CZ2011/23/20

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.

© 2019 CHS Inc.