Tuesday was another positive day for our markets. Spot corn closed up 5 3/4, spot soybeans closed up 2 1/2, harvest winter wheat closed up 4 3/4 and harvest spring wheat closed up 7 1/2. In the overnight trade all of our markets are back on the positive side after trading in the negative earlier in the trading session. Oil closed up $1.09 yesterday at $71.83 per barrel. It is stronger again this morning with it currently valued at $72.52 per barrel. Our dollar started out yesterday morning at $0.704 US and slowly trended higher going up to $0.705 US in the overnight trade. It has been pulling back this morning with it now currently valued at $0.703 US.
It was nice to see our markets start the short trading week positive. They all traded part of the day yesterday on the negative side before turning positive. Corn closed about 9 cents off the low for the day with soybeans and the wheat sector all closing over 10 cents off their lows.
The nearby corn futures on the CBOT (March) closed yesterday above the $5 per bushel mark. This was a major technical breakout and is the first time that the nearby month has broken through this level since October of 2023. It is a very bullish sign that this price level was broken yesterday and that the market is staying above it this morning.
Part of the support for the corn market has been the strong US export sales this year. They are currently running about 35% ahead of last year’s export pace. We should note that the USDA is only projecting an increase of 7% in corn exports year over year. With this strong of exports the USDA will have to increase their export numbers in one of their monthly WASDE reports.
The soybean crush for January in the US came in utilising 200.383 million bushels of soybeans. This was up 7.9% from January of 2024 but was lower than the average trade estimate of 204.536 million bushels. Soybean oil stocks are at a six month high at 1.274 billion pounds but this is their lowest January stock level in 10 years. More soybean oil is being utilised for domestic biodiesel production then previous estimates. All in all these soybean crush numbers continue to be supportive for the soybean market going forward.
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.
Delores Seiter | 613-880-7458
Bob Orr | 613-720-1271
Office | 613-489-0956
