Softer markets to open the day with corn and soybeans both down 3 and wheat is down 15. Concerns over the damage to wheat in the plains has raised some red flags as initial reports are the damage will be minimal which is leading to weakness in those markets today.
The US Outlook Forum is Thursday through Friday, which is probably why some banks are taking profits. March options also expire on Friday which could take another large portion out of the long position. Funds are long 374,000 corn and 160,000 soybeans heading into todays trade.
Ethanol plants across the country have been slowing production due to high corn prices and a spike in spot natural gas. Margins have gone to negative, with some the worst levels in many years.
Today is the last day to sign up for our Average Price Contract (APC). Contact Drake, Mitch or myself for more details or to sign up. This looks like a great year to utilize this contract with the volatility in the markets.
Have a Safe Day!