Jul 11, 2014
Home| Tools| Events| Blogs| Discussions Sign UpLogin


EHedger Report

RSS By: Dustin Johnson

Dustin works with a wide net of large producers throughout the Midwest. His analytical market approach and objective hedge strategy development is specific to the needs of every individual.

Corn Still Benefitting From Fund Purchasing

Mar 25, 2013

Subscribe to Expanded Newsletter

It was another choppy trading session with corn higher while beans and wheat closed lower.  Funds continue to buy corn while the strong dollar held other dollar-denominated markets in check.

All eyes are still focused on Thursday’s USDA reports.  The average guess for corn stocks is 4.995, 0.948 for soybeans, and 1.165 for wheat.  Corn acres are expected to be 97.3 million while soybean acres are estimated to be 78.4 million.  We don’t foresee any major surprises from these levels except maybe some additional soybean acres (0.5-1.0 million). 

Fund purchasing still seems to be the driving factor for corn.  December corn settled above its 50 day moving average for the first time since December 10th!  This could pave the way for a move back to the $5.85 - $5.95 range.

December 2013 CornDecember 2013 Corn

Cold weather headlines continue to tout wheat damage but wheat has been one of the weakest products on the board.  I think this is just more evidence that the market is floating on position changes from the large traders and hedge funds.  Our fundamental outlook has not changed.  For now we will just have to wait on the report and try not to get sidetracked from the choppy market action in-between.

 

EHedger  |  866.433.4371

Premier full service commodity brokerage offering risk management services for the agricultural sector as well as professional traders.

EHedger is a premier full service commodity brokerage offering risk management services for the agricultural sector as well as professional traders.

Trading commodity futures and options involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge and financial resources. The market information contained in this message has been obtained from sources believed to be reliable, but is not guaranteed as to its accuracy or completeness. Market information may not be consistent with current or future market positions of EHedger LLC, its affiliates, officers, directors, employees or agents.

 
 
 
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