Tuesday was a mostly negative day for our markets. Spot corn closed down 2 3/4, spot soybeans closed up 1 3/4, harvest winter wheat closed down 5 3/4 and harvest spring wheat closed down 6 1/4. In the overnight trade corn all of our markets are once again on the negative side. Oil closed down $1.77 yesterday at $68.93 per barrel. It is weaker once again in trading this morning with it now valued at $68.85 per barrel. Our dollar started out yesterday morning at $0.702 US and has since then trended lower. This morning it is currently valued at $0.697 US.
Our markets all closed well off their lows for the day yesterday. They started out negative and all flirted with the positive side of the market later in the trading day before pulling back once again. The corn and wheat markets traded within a 10 cent range with soybeans out to a 15 cent trading range for the day.
There was nothing really new in the markets yesterday to trade with. Weather in South America remains favourable for farmers in both Brazil and Argentina. A large rain event in Argentina with a widespread soaking rain of over 3 inches in most areas should be wiping out any dryness concerns. We have talked the last few days how the farmers in Brazil have ramped up both the soybean harvest and the safrinha corn crop planting.
Tariff concerns are definitely hanging over our markets. We forgot to mention how wheat exports out of Western Canada would also be impacted into the US. This is currently being treated as a negative in the wheat market with it pulling back over the last few trading days. Warmer weather next week in the Southern Plains will bring some of their winter wheat crop out of dormancy. We could be seeing reports about winter survival at this time.
The USDA Ag Outlook conference is taking place today and we will be getting some direction as to planting intentions this year in the US. It is widely expected that corn acres will be expanding between 2 – 5 million acres with soybean plantings decreasing by a corresponding amount. It will be interesting to see if all the tariff talk has any effect on the swing of acres.
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
