Thursday was mostly positive day for our markets. Spot corn closed up 2 1/4, spot soybeans closed up 13 1/4, harvest winter wheat closed up 3 3/4 and harvest spring wheat closed down 3 1/2. In the overnight trade corn, soybeans and winter wheat are negative with spring wheat on the positive side. Oil closed up $8.48 yesterday at $95.73 per barrel. It is weaker in trading this morning with it now valued at $94.08 per barrel. Our dollar started out yesterday morning at $0.737 US and has trended lower since then. This morning it is currently valued at $0.731 US.
Another day in the war with the conflict extending. Crude oil prices jumped up once again and flirted with the $100 per barrel level. Iran has done more to keep ships from going through the Strait of Hormuz and this has kept the pressure on crude oil even after the International Energy Agency agreed to release 400 million barrels of oil.
Corn did close higher yesterday however it was 7 cents off the high for the day. With prices down a bit this morning the market is showing some weakness to hold the recent high prices. Remember the extremely large carryout in the US of 2.1 billion bushels is the elephant in the room for this market and most definitely helps to keep a lid on prices going forward.
Soybeans rallied again yesterday and continue to get support from rumours of possible increased Chinese purchases to come when the two Presidents get together next month. The current war increasing the price of crude oil has helped propel soybean oil prices higher. Possibly the halting of soybean exports out of Brazil by Cargill to China supported this market yesterday also. All in all soybeans continue to trade with some very wide daily fluctuations but have been positive for this week. With prices lower this morning it is possible that the market is just taking a breather.
We would like to thank and congratulate everybody this week that had target orders hit and / or made some increased sales for old or new crop. Taking advantage of the current price increase just makes sense as we all know that they could pull back any day based on what President Trump may say or do!
Friday’s thought: The past is your lesson. The present is your gift. The future is your motivation!
Delores Seiter | 613-880-7458
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
