Monday was a mostly positive day for our markets. Harvest corn closed up 1 1/2, harvest soybeans closed up 2 3/4, harvest winter wheat closed up 5 1/4 and harvest spring wheat closed down 2 1/4. In the overnight trade corn in up slightly, soybeans are negative, winter wheat is positive and spring wheat is even. Oil closed down $3.31 yesterday at $81.57 per barrel. It is down another $2.34 this morning currently priced at $78.41. Our dollar traded between a low of $0.713 US and a high of $0.716 US yesterday with it closing out in the middle of the range. This morning it is stronger with it now valued at $0.714 US.
The USDA weekly crop progress report reported the US winter wheat harvest is now 25% complete up from last weeks 11%. US winter wheat good to excellent rating increased to 27% from last weeks 25%. Corn’s good to excellent rating is at 68%, up 1% from last week and soybeans good to excellent rating is at 66% up 2% from last week. All are in line with trade expectations.
S&P Analysts are forecasting 96 million acres of corn up from their 95.2 million acre pre-plant estimate. They’ve also increased their forecast for planted soybeans acres from 85 million acres to 85.3 million acres. The USDA will update their acreage predictions on June 30th.
The commodity markets did open quiet bearish Sunday night and in the overnight trade but staged a dramatic comeback during the day trade yesterday. The reason? Possibly traders trying to take advantage of some bargain buying. The fundamental in the marketplace are all still point negative; weather is positive for crops, South America is having a strong crop year, crop conditions are positive. Oil is dropping due to the news which should be affecting corn and soybeans as well.
Geoffrey Guy | 613-880-2707
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
