Tuesday was yet another negative day for our markets. Harvest corn closed down 6, harvest soybeans closed down 11, harvest winter wheat closed down 5 3/4 and harvest spring wheat closed down 14. In the overnight trade corn and soybeans are now positive with the wheat sector still on the negative side. Oil closed up $1.60 yesterday at $93.76 per barrel. It is stronger again this morning with it now trading at $95.92 per barrel. Our dollar had a high yesterday morning before noon of $0.724 US and has trended lower since then. This morning it is currently valued at $0.722 US.
Harvest corn futures have closed negative for 8 of the last 10 trading days. They have pulled back about $0.40 per bushel from their high last month and are at their lowest price since November of last year. Managed money continues to liquidate their long position (looking for prices to go up) as the US corn crop has started off on a strong footing and the current weather forecast is mostly beneficial for crop growth. The supply side of this market is showing strength. Harvest prices are still stronger than last year at this time. Marketing a portion of this year’s production at current price still helps to take some risk off the table and to lock in some profit. Give us a call anytime to discuss your marketing plan for this production year.
Crude oil prices are jumping up again as the peace process between the US and Iran seems to be on some shaky ground. As missile attacks are being exchanged supposedly negotiations may or may not be occurring to end the war. Time will have to tell this story to its conclusion and unfortunately none of us can tell yet when this time will come.
With the current negative trend in the market it is important to take advantage of any short term price increases. This is especially important if you have any old crop in storage that you have not yet marketed. Give us a call so we can keep you in mind if we find any short term needs for old crop.
Geoffrey Guy | 613-880-2707
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
