Thursday was a mixed day for our markets. Harvest corn closed up 3 1/2, harvest soybeans closed up 7 3/4, harvest winter wheat closed down 2 1/4 and harvest spring wheat closed down 3 3/4. In the overnight trade all of our markets are back on the positive side. Oil closed down $2.28 yesterday at $60.07 per barrel. It is a bit weaker again this morning with it now valued at $60.03 per barrel. Our dollar had a low yesterday morning of $0.710 and then trended higher going up to $0.721 US in the overnight session. With some choppy trading this morning it is once again back up at $0.721 US. This is the strongest our dollar has been since early November of last year.
Yesterday the USDA released their monthly WASDE report. They finally increased US corn exports to reflect the continued strong export pace experienced this year in the US. Carryout stocks were decreased by 75 million bushels for the current marketing year. This was made up with the increase of 100 million bushels of exports and a decrease of feed usage of 25 million bushels. These adjustments ended up supporting the corn market both yesterday and this morning.
The change in the soybean numbers were much less significant and really should not have affected the market very much. Soybeans rallied most likely still getting support from the reciprocal tariff extension given by President Trump earlier this week. We should note that China has been a very aggressive purchaser of soybeans from Brazil this week as they move purchases away from the US.
The wheat market was pressured with a projected increase in yearend carry out stocks. This increase came from an increase in imports and a decrease in exports. All in all it was a poor report for the wheat complex.
Friday’s thought: Do not cling to a mistake just because you spent a lot of time making it!
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
Office | 613-489-0956
