Monday was a mixed day for our markets. Harvest corn closed down 3/4, harvest soybeans closed down 3 1/4, harvest winter wheat closed up 7 3/4 and harvest spring wheat closed up 7 1/2. In the overnight trade all of our markets are now on the positive side. Oil closed down $1.29 yesterday at $60.70 per barrel. It is stronger in trading this morning with it now valued at $60.85 per barrel. Our dollar had a low yesterday morning before noon of $0.700 US and then trended higher going up to $0.707 US in the overnight trade. It has eased back a bit this morning with it now currently valued at $0.705 US.
Yesterday was another tumultuous day in our markets. Just like the outside markets, prices started lower, rallied midday and then pulled back as the day progressed. The short lived rally was based on a rumour that the Trump Administration was looking at pulling back or postponing the implementation of the new tariffs. This was quickly pointed out as only a rumour and the markets pulled back once again. President Trump actually threatened China with additional tariffs of 50% if they do not pull back their reciprocal tariffs that are going in place this week.
Our markets are higher this morning and it seems like the analysts are struggling to find some reasons why. For the wheat complex the new crop has some growing concerns and possibly managed money is liquidating some of their record long short position. For corn strong weekly exports are providing some price support. Lastly the soybean market was probably oversold on the down side over the last few days and is just due for a small price rebound. The reality is probably after all the negative from the tariffs the traders are trying to find any reason for some positive prices.
The USDA released their first Weekly Crop Progress Report yesterday for this year. Corn plantings are reported at 2% complete which is right at their 5 year average. Last year at this time they had 3% of the corn crop planted.
Spring wheat plantings are reported at 3% complete which is also right at their 5 year average. Last year at this time they also had 3% of this crop planted.
The good to excellent rating for their winter wheat crop came in at 48%. This is behind the good to excellent rating for last year at this time of 56%.
This report should be considered neutral for both corn and spring wheat. For winter wheat it should be considered more supportive with the low good to excellent rating.
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
