December 28, 2018
Corn opened up two, and Soybeans up ten. Low trade volume with the second to last trade day of the year. There has been a lot of uncertainty between the trade war and government shutdown still in the picture, trade is looking for any ideas on volumes that could possibly be booked on Chinese purchases. With that being said, USDA weekly export numbers will not come out today due to the government shutdown.
Brazil’s Mato Grosso region has questions on their potential soybean yields, as some farmers are reporting dryer conditions. Do not expect any major yield adjustments, but be aware of some of those headlines on South American crops affecting our markets.
My belief is that with end of month/year positioning there looks to be a more positive than negative start to 2019. News about a US trade delegation came in yesterday, with a date of January 7th meeting in Beijing. Watch for news from this, as China could be potential buyers of corn, ethanol, and ddgs. Take time to call and talk on either basis or cash levels before or after the holidays. Current cash levels to keep in mind: March $3.50, $3.70 July, and $3.75 December.
Have a Great Weekend!