Good morning,
Grain markets remained quiet this morning with corn unchanged, soybeans up 2 and wheat up 7.
To say the corn market has been struggling to find some bullish news is an understatement. The March futures have traded in a 30-cent window and all sub $5 for the last two months. Finding anything that is going to move it higher, let alone north of $5 in the next couple months is going to be a struggle. With higher US and world stocks compounded with a lack of significant demand and a south American crop that is looking like a record, it could be a tough first quarter for grain.
South American weather, the January 12th USDA Crop Production report and global political wars are the hope to move things higher in the coming months, but they are a long shot.
Producers are advised to take this time to meet with your buyers to discuss what levels are attainable and put firm offers in place. Little moves in the market should be sold as the likelihood of big moves is not realistic in a surplus year. With higher interest rates, carrying costs are much higher than last year and need to be accounted for.
Have a Safe Day!
Garry Gard
920-348-6844
ggard@didioninc.com
