Thursday was a mixed day for our markets. Harvest corn closed up 1 3/4, harvest soybeans closed up 1 1/2, spot winter wheat closed down 2 1/2 and spot spring wheat closed down 2 3/4. In the overnight trade corn, soybeans and winter wheat are positive with spring wheat mixed. Oil closed down $0.49 yesterday at $63.48 per barrel. It is weaker in trading again this morning with it now valued at $62.91 per barrel. Our dollar had a low yesterday morning before lunch at $0.722 US and since then has trended higher. This morning it is currently valued at $0.725 US.
Our markets started out negative yesterday and traded most of the day on the negative side. Near the end of trading day corn and soybeans rallied to close on the positive side for the day. They both found support near their 50 moving average prices.
Corn is being pressured of course with the record harvest soon to begin in the US. Some favourable rain events coming this week to most of the dryer areas of their Corn Belt is helping the crop to finish. Ample supplies are coming into the world market from both Argentina and Ukraine with pricing lower then corn from the US.
On the soybean front the same weather patterns in the US that is helping finish their corn crop is helping their soybean crop. The lack of Chinese buying from the US continues to be talked about. There is some talk now that China would be able to have sufficient supplies of soybeans from South America and other sources (possibly Canada) such that they could they skip purchases from the US altogether this year. Remember the market is still trading with thoughts that US sales will come later this fall to China after a new trade deal is made between the two countries. If this does not occur this market could be hit hard on the negative side.
Friday’s thought: Someday your pain will become the source or your strength. Face it. Conquer it. You will make 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
Tony Mitchell | 613-227-2525
Office | 613-489-0956
