Tuesday, December 23, 2025, 7:00 am

Our office will close at noon on December 24^th and will be closed until Monday, December 29. 

Monday was a positive day for our markets.  Spot corn closed up 3 1/4, spot soybeans closed up 4, spot winter wheat closed up 5 3/4 and spot spring wheat closed up 2.  In the overnight trade all of our markets remain on the positive side.  Oil closed up $1.49 yesterday at $58.01 per barrel.  It is stronger in trading again this morning with it now valued at $58.07 per barrel.  Our dollar started out yesterday morning at $0.726 US and has trended higher since them.  This morning it currently valued at $0.730 US.  This is the highest our dollar has been since early November.

The US dollar has been weakening against most other major currencies and our currency is no different.  Our dollar had an 8 month low of $0.708 US last April and has traded higher since then.  With our currency getting stronger this is putting some pressure on our local basis levels.  It is most likely that basis levels will be pulling back some over this holiday season.

Surprise, surprise, surprise!  Analysts are saying today that the small price increase in the wheat market is due to Russian bombings of the Ukraine export infrastructure in the Odessa region.  Ukraine has responded with targeting Russian oil exports out of the same region.  We should note that roughly 25 to 30% of the world wheat trade flows through the Black Sea.

This same conflict has helped to increase the price of crude oil.  The potentially uncertainty of a continued flow of oil out of Russia through the Black Sea region brings on the higher price.  The conflict that the US is currently engaging with Venezuela is also adding to some volatility in oil market.

Soybean oil was stronger yesterday and was supported by crude oil and the attacks on Ukraine.  A sunflower oil extruding plant was supposedly damaged severely in the bombings.  Reduced supply should always result in higher prices.  We should also note that soybean oil prices are currently near a 6 month low and should be able to find some room to rally with.

The reality is the markets are slow right now and are looking for reasons for price changes.  With continued strong prospects of large crops this year in South America (currently no major weather stresses) and the record level crops harvested this fall for corn in the US and wheat around the world analysts are struggling to find reasons for prices to move.  Hopefully the marketplace will provide something soon that will help to drive prices higher.