Our office is closed today for Victoria Day. The markets will be open. If you want to make any contracts please call me on my cell phone at 613-880-2707.
Friday was another negative day for our markets. Spot corn closed down 1a 3/4, spot soybeans closed down 15 1/2, harvest winter wheat closed down 22 1/4 and harvest spring wheat closed down 17 1/4. In the overnight trade all of our markets have bounced back to the positive side. Oil closed down $0.15 on Friday at $101.02 per barrel. It is stronger this morning with it now trading at $102.53 per barrel. Our dollar traded between a low of $0.726 US and a high of $0.729 US on Friday with it closing out at $0.727 US. It is a bit stronger this morning with it currently valued at $0.728 US.
Our markets pulled back again on Friday as the selloff continued after no new agricultural deal came out of the Trump / Xi meeting last week in China. Managed money continued to liquidate a portion of their long positions and this pulled our markets back fast and hard. With the Weekly Crop Progress Report that comes out later today most likely to show that the US corn and soybean crops are over two thirds planted a bearish feeling was starting to come into the market.
After all the negative for our markets at the end of last week the White House released a Fact Sheet over the weekend that stated that China will purchase an additional $17 Billion dollars of agricultural products over and above the 25 million tonnes of soybeans that they had previously agreed to purchase on a yearly basis. This has resulted in our markets being very strong this morning. This is the announcement that our markets were looking for coming out of the meeting last week although we should point out it is not commodity specific other than saying the increased purchases will not be soybeans. Remember though that no representative from China has confirmed this announcement. Where the market will go from here we will continue to monitor. This could be game changer for our markets going forward if China does follow through with increased purchases.
Last week ended up being a negative week for our markets after starting the week on the positive side. Spot corn closed down $6 per tonne with this year’s harvest down $5 per tonne. Spot soybeans were down $11 per tonne with this year’s harvest down $6 per tonne. Winter wheat was down $6 per tonne across the board with spring wheat down only $2 per tonne on the spot market and $1 per tonne for this year’s harvest.
Delores Seiter | 613-880-7458
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
