The markets were closed yesterday for the Memorial Day Holiday in the US. Friday was a mixed day for our markets. Spot corn closed up 1, spot soybeans closed up 2 1/4, harvest winter wheat closed down 1 1/4 and harvest spring wheat closed down 3/4. The markets are mostly negative in the overnight trade. Oil closed up $0.25 on Friday at $96.60 per barrel. It is weaker this morning with it now trading at $92.59 per barrel. Our dollar traded between a low of $0.723 US and a high of $0.724 US over the last 24 hours. This morning it is at the high end of the range with it currently valued at $0.724 US.
With the peace process slowly grinding forward between the US and Iran our markets are trading just slightly negative. No big overreaction this morning with is somewhat surprising as usually the markets overreact to all the outside chatter that is away from normal supply / demand fundamentals. How long it will take to agree to a binding peace proposal between the combatants and how the flow of oil and other goods through the Strait of Hormuz are affected are affected going forward is yet to be seen.
The weekly Crop Progress Report in the US will be released later today. We should expect to see continued strong planting pace for corn and soybeans and another confirmation of the very weak good to excellent rating for their winter wheat crop.
The weather forecast over the next 2 weeks over much of the Corn Belt in the US is calling for roughly 50% of the normal precipitation for this time of the year. This is not a major concern yet as the majority of the Corn Belt has very adequate moisture levels going into this potential dryer then normal time period.
Geoffrey Guy | 613-880-2707
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
