North Gower Grains

Friday, December 20, 2024, 7:45 am

Grains Matter Chatter – Episode 230

Thursday was a mixed day for our markets.  Harvest corn closed up 3 1/2, spot soybeans closed up 11 1/4, spot winter wheat closed down 8 1/4 and spot spring wheat closed down 5 1/4.  In the overnight trade all of our markets are now on the positive side.  Oil closed down $0.64 yesterday at $69.38 per barrel.  It is weaker in trading again this morning with it now valued at $68.92 per barrel.  Our dollar had a high yesterday morning before noon of $0.697 US and then trended lower going down to $0.693 US early in the overnight trading.  It has bounced back up since then with it currently valued this morning at $0.696 US.

Soybeans bounced back yesterday recovering about 50% of the loss from the previous day.  Market analysts will say the market was oversold on Wednesday and yesterday’s trade included some profit taking from funds.  The reality is that nothing is really changing in this market.  The supply side is dominating with the record crop growing in South America.  Uncertainty definitely is in the markets over how the new Trump administration and their policies will affect this market.  This includes not only the already announced tariffs but also what they might do with the renewable fuels mandate in the US.  There is talk that the biodiesel mandate maybe decreased and this would most definitely affect soybean oil prices going forward.

Reports out of Brazil are that the first crop of soybeans is now fully planted.  In Argentina it was reported yesterday that their soybean crop is now 77% planted with their corn crop 66% planted. Crop ratings have soybeans at 99% good to excellent and corn at 98% good to excellent.  There are some parts of Southern Argentina that are dry but farmers in that area are just starting to plant.

Friday’s thought: Everyday might not be a good day but there is something good in every day!

If you would like to talk about the markets or price some of your crop for the future or in store, please reach out to us via phone or email to info@northgowergrains.com. Prices quoted herein are for product at our elevator.