EHedger Closing Grain Commentary
Sep 29, 2010
After a sharply a lower open to today's trading session the corn market rebounded to settle five cents higher in the December contract at $5.05. December Chicago wheat traded as much as twenty-one cents lower before a late rally caused the contract to settle the day down 1 ¼ cents at $6.83 ½. Soybeans lead the way sharply lower to start the day. At one point the November bean contract traded 26 ½ lower before finishing the day 11 cents lower at $10.99.
The last couple of days have provided solid rains for the Southeast and Delta growing regions. Rains in the Southern Midwest helped ease concerns over not planting winter wheat. Recent rains in Russia helped ease concerns over not planting wheat. The rains in South America helped ease concerns over not planting corn/beans. Also the 10-day forecast is favorable for harvest progress in the US and we should see a rapid harvest pace during this timeframe.
Soybean yields continue to come in well over estimates with many 60-70+ bushel yields being reported. Corn yields continue to come in extremely variable. The market is waiting to see what the next 75% of the harvest brings, with the focus mainly on Iowa and Minnesota.
Tomorrow morning at 7:30am the USDA will release the weekly export sales for corn, beans, and wheat. In addition to the weekly sales numbers the USDA will also release the quarterly grains stocks and small grains summary. Below you will find the average trade estimates for both reports. Tomorrow morning we will have a detailed response to the USDA report in our EHedger morning and afternoon commentaries.
For those producers looking to catch up on the current recommendations, or if you would like additional coverage as we continue to progress through harvest, please get in touch with your broker.
Get More From EHedger.
Our commentaries are just one part of our whole risk management service. Please go to http://www.ehedger.com/getmore.html for a free two-week trial of our full member website that gives you access to all our hedge and marketing recommendations, educational tools, market snapshots and much more.
Also learn about our acclaimed AMMO Program that helps producers optimize their marketing strategies using the premier tools and insights in the industry.
Get Organized. Get Ahead. Get EHedger
Trading commodity futures and options involves substantial risk of loss and may not be suitable for all investors. 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 E Hedger, its affiliates, officers, directors, employees, or agents. Recipients assume the risk of reliance on and indemnify and hold E Hedger harmless for any and all losses, costs, or tax consequences incurred as a result of their use of market information.