Oct 1, 2014
Home| Tools| Events| Blogs| Discussions Sign UpLogin

Quiet on the Trading Front

November 28, 2012
By: Jeanne Bernick, Top Producer Editor
TP Adviser Track Records
If you have any questions or comments regarding the track record information, contact Mark Soderberg, Tim Smith or Scott Harms of Archer Financial Services, Inc., at (800) 933-3996.  

Traders pull back in light of longer hours

October was quiet for the advisers in the Archer Financial Services, Inc., Ag Hedge Program. The new longer CME trading hours are under fire for the slide in volume. Total corn volume was off  23% from a year ago in September. Full data for October wasn’t available at press time, but if the advisers’ marketing activity for the majority of the month was any indication, the trend continues.

Contributing to the lighter volume is that corn and soybean markets appear trapped in a tight trading range while awaiting updated production numbers and weather conditions in South America. Corn sales advanced 6% and stand at 58% sold for the 2012 crop, while soybean sales were even less, as the hedge position increased 3% to 56% sold.

In addition, 2013 crop sales increased 6% and 3%, respectively, for corn and soybeans in October. The corn market is stuck in a range defined by highs and lows set in October, explains Scott Harms of Archer Financial Services. It will likely take a breakout of this range to spur an uptick in activity, he says.

"The cash market will be closely watched this winter for signs that the pipeline has been depleted, and a surge in   basis could encourage cash movement," Harms says. "A cash lead rally or signs of a South American weather problem will provide the best selling opportunities this winter." As of now, most traders are looking for rallies near $7.85 and $6.65 to advance corn sales for 2012 and 2013 crops, respectively.

(click to enlarge)

track record december

See Comments

FEATURED IN: Top Producer - December 2012

Log In or Sign Up to comment


No comments have been posted



Receive the latest news, information and commentary customized for you. Sign up to receive the AgWeb Daily eNewsletter today!.

Enter Zip Code below to view live local results:
The Home Page of Agriculture
© 2014 Farm Journal, Inc. All Rights Reserved|Web site design and development by AmericanEagle.com|Site Map|Privacy Policy|Terms & Conditions