Good Morning,

Corn is currently even, and soybeans down eleven. Trade saw China purchase 500,000 tonnes of soybeans, the first since the G20 Summit. This is encouraging progress, though many traders were expecting a number ten times higher. US House and Senate passed the farm bill, with Trump the final stop for signature. House vote was 369-47, the bill that 40 million Americans depend on for SNAP.

In my opinion, these headlines are proving that corn has a stable/positive outlook at this time. With that being said, make sure to have firm offers in place and make your targets known. Keep in mind some bids that have been stable over the past week: January $3.60, June $3.75, October $3.73.

Have a Great Day!

Mitch Giebel
920-348-6861
mgiebel@didionmilling.com

Good Morning,

Overnight China and the US discussed the road map for the next stage of their trade talks. Both sides exchanged views and worked out details for continued meetings when the Chinese delegation comes to the US.(A meeting in DC is expected soon). There are rumors of a purchase of 5-8 mmt of beans getting bought this week from China. China imports close to 7 mmt/month, so this number seems about right.
USDA crop report out at 11am today with little surprises expected. Corn carryout is expected to increase slightly from the November report. Estimates for today’s report are listed below.

2018-19 Ending Stocks (million bu)
December 11 Average Est. USDA November
Corn 1.781 1.744 1.736
Soybeans 955 938 955
Wheat 974 969 949

2018-19 World Stocks (million metric ton)
December 11 Average Est. USDA November
Corn 308.8 308.4 307.5
Soybeans 115.3 113.2 112.1
Wheat 268.1 267.3 266.7

Have a Safe Day!

Garry Gard
920-348-6844
ggard@didionmilling.com

Good Morning,

Markets are slightly lower this morning with corn down 1 and soybeans down 4 to start the week.
Look for grain trade to take direction from the stock market trade this week.
We will be monitoring the same news this week as traders wait for some news on the trade front. Vice Premier Lui is coming to Washington DC this week with a 30 member delegation to start trade talks. It is likely that Ag and Energy purchases will be made on follow thru from what was agreed upon at the G20.
An announcement of was supposed to happen on the second aid package for soybeans last week, but has not yet been confirmed. I have heard that offices were to be prepared to start filing paperwork as soon as today.
The USDA December Supply and Demand report will be released tomorrow at 11am. Yield will not be updated on this report, but we do expect to see changes in carryout of both corn and soybeans. Continued low export numbers in soybeans and lower ethanol margins in corn are expected to increase ending stocks in this report. I don’t expect much reaction to tomorrow’s report as historically this report generates little interest as traders await the final report in January.

Have a Safe Day!

Garry Gard
920-348-6844
ggard@didionmilling.com

Good Morning,

Corn is down 4 and soybeans are down 15 to start the day. Traders are becoming more skeptical that tension between the US and China is easing. One sign, China has said they will be buying US commodities, however they have not dropped or lowered tariffs.
The corn market has no direction as domestic demand looks to slow with poor ethanol margins. With no fundamental direction, corn is basically following soybeans as we wait for the January 11th USDA report on the final size of the 2018 crop.
Producers looking or needing to move grain before the end of the year have little hope of the market rallying into the end of the year and should take advantage of current cash prices. Producers that can hold off until the January 11th report will have more opportunity and I would advise putting in firm offers and waiting.

Have a Safe Day!

Garry Gard
920-348-6844
ggard@didionmilling.com

Good Morning,

Softer markets overnight and this morning as we give back some of yesterday’s gains as uncertainty remains around the Chinese-US trade truce. The ag markets are starving for more detail as we await the next piece of news around this last weekend’s talks and any future discussions. China’s government hasn’t been able to formulate a response to the summit this last weekend with President Trump because President Xi and his senior officials are still out of the country.

Without a weather issue in South America the demand for US beans will continue to shrink regardless of trade talks. With US bean carryout’s approaching the 1 billion bushel level in the last report, it will take some time and a lot of demand to bring these levels back down.

So far this week the markets have gained 7 cents in corn and 18 cents in soybeans in what may be a buy the rumor sell the fact move.

Have a Safe Day!

Garry Gard
920-348-6844
ggard@didionmilling.com