April 23, 2018
After ticking fractionally lower overnight to match last week’s lows, the corn market has found some buying as traders expect nominal gains to US planting progress this afternoon. Reports of good progress occurring this weekend across parts of the ECB and planting should expand this week with warmer temperatures and drier conditions. Corn planting is expected to be between 7-8% this afternoon compared to 3% last week and 13% for the five year average.
Friday afternoon’s USDA Cattle on feed report showed all cattle on feed as of April 1 at 107.4% of last year. Placements came in at 90.7% of last year and marketing’s at 96.1%% of last year.
The soybean market is trading lower this morning with little fresh news to trade and nothing new on the US/China trade relations. China has been buying soybeans from Paraguay recently.
Congratulations to producers who took advantage of our May/Dec Accumulator contract last week to lock in $3.80 May corn and potential $4.00 December corn. Being proactive and taking advantage of these “accumulator” contracts are a great marketing strategy.
Producers should be actively placing firm offers with their buyers for new crop sales that are hovering near the $4 range. Take advantage of the down time you have before you head to the fields to talk with your buyers to get targets set for the crop you will be planting. For most producers it is difficult to find time to make sales or put firm offers in once you are busy planting. This is also the time that we could see spikes in the market due to weather issues around the country.
Have a Safe Day!