Thursday was a positive day for our markets. Harvest corn closed up 1 1/2, harvest soybeans closed up 3 1/2, spot winter wheat closed up 7 1/2 and spot spring wheat closed up 5 1/4. In the overnight trade all of our markets have fallen back on the negative side. Oil closed down $0.01 yesterday at $64.98 per barrel. It is weaker in the overnight trading with it now valued at $64.84 per barrel. Our dollar started out at $0.720 US yesterday morning and has trended lower since then. This morning it is currently valued at $0.716 US.
Our markets were positive yesterday and were supported as Argentina brought back their export taxes on their agricultural products. They had set a target of $7 Billion of sales and supposedly this was reached. It is rumoured that China purchased upwards of 2.7 million tonnes of soybeans this week from Argentina. We should also note that the US Government is giving Argentina somewhat of a bailout / liquidity aiding package to help stabilize their economy at the same time. Bottom line is that with Argentina back to their normal activities in the world market prices did rally a bit.
Unfortunately this morning all prices have pulled back as there is nothing else occurring to support the markets. Harvest is progressing well in the US with a favourable weather forecast for the next two weeks over much of the main growing areas. The US dollar has strengthened since they decreased interest rates last week with it breaking through all of the 20, 50 and 100 moving averages. As their dollar gains in value it makes their exports more expensive on the world market and this is a negative for prices on the CBOT.
Locally the rains have slowed down the early pace on the soybean harvest. With some nice rain free weather in the forecast we could see combines return to the field sometime this weekend or early next week. If you need to get dumped this weekend please call ahead. We will be open if the combines are rolling.
Friday’s thought: There is a younger version of you that did not stop dreaming. You did not lose them – you just need to pause long enough to hear them again. Remember to live your dream!
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
Tony Mitchell | 613-227-2525
Office | 613-489-0956
