Friday was a positive day for our markets. Harvest corn closed up 10 1/4, harvest soybeans closed up 6 1/2, spot winter wheat closed up 5 1/4 and spot spring wheat closed up 2 3/4. In the overnight trade all of our markets have fallen back on the negative side. Oil closed down $0.59 on Friday at $64.01 per barrel. It is stronger in trading this morning with it now valued at $65.74 per barrel. Our dollar traded between a low of $0.726 US and a high of $0.728 US on Friday with it closing out right in the middle of the range at $0.727 US. It has weakened a bit in the overnight trading with it currently valued this morning at $0.725 US.
Our markets rallied on Friday as funds were repositioning from the September futures to December. Funds holding short positions were forced to liquidate and this helped prices to rally. December corn on the CBOT closed at its highest level in over a month. It also was the first time that corn closed above the 50 day moving average since early in June of this year. It is very impressive to see the rally in corn prices since the WASDE report last month brought forward the new record yield projections.
Unfortunately this morning our markets have fallen back with the supply side once again dominating. Favourable weather forecasts are bringing rain to some of the drier areas of the Corn Belt. This will help both their corn and soybean crops finish and will protect the strong yield prospects.
It will be interesting to see this afternoon what the USDA reports with their weekly Crop Progress Report. There are some analysts that see the continued strong growing weather bringing even a higher yield prospect with this month’s WASDE report. This is being talked about with other analysts saying that the current yield projections will not be met in the US. Time will most definitely tell this story to its conclusion!
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
