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

Walsh Trading: Afternoon Grain Comments

RSS By: Andy Kopale, AgWeb.com

Andy is a seasoned grain market analyst and the senior account executive at Walsh Hedging. His main focus is assisting producers and end users to better hedge their investments through his various market strategies over his years of experience working on the grain floor.

Walsh Commercial Hedging 4/09/12

Apr 09, 2012

Good afternoon. The grain complex experienced a choppy two-sided trade during the day session after trading higher in the overnight trade but falling apart in the middle of the night. May corn finished at 649, down 9 1/4 while new crop December corn closed unchanged. Unwinding of old/new crop corn spreads throughout the day weighed on old crop corn. May soybeans finished down 3 at 1431 and new crop November beans was up a ½ cent at 1382. Traders liquidated long holdings in corn and beans amid worries of possible bearish surprises in the WASDE report tomorrow morning. Wheat turned up a few cents closing up 4 ½ cents at 643 on position squaring before the report. U.S corn supplies in the report are expected to fall to a 16-year low creating razor-thin supplies before the fall harvest. Here are the following tables for grain and bean carryouts:

                                Average                    Range                   USDA(11/12)March
Corn                      0.717                     0.626-0.801                  0.801
Soybeans               0.246                     0.225-0.275                  0.275
Wheat                    0.796                     0.740-0.825                  0.825
Bean and corn traders will also find out how much the corn and bean production in South America is going to be down, too. I could see a surprise in soybean production in either Argentina or Brazil.
Crop progress just came out and showed that corn was 7% planted vs. 3% last week. Illinois came in at 17% planted vs. 5 % last week. I expect that number to explode after this week because the insurance safe dates will have been met and the 10-15 day weather outlook looks favorable for planting. However, Mother Nature can throw a curve anytime so be prepared.
Give us a call to hear what we’re doing to help protect our producers at 800.933.5449 or email us at info@walshtrading.com
Walsh Commercial
Futures and options trading involves substantial risk. The valuation of futures and options may fluctuate, and, as a result, clients may lose more than their original investment. In no event should the content of this letter be construed as an express or an implied promise, guarantee, or implication by or from Walsh Trading Inc. that you will profit or that losses can or will be limited in any manner whatsoever. Past results are no indication of future performance. Information provided in this correspondence is intended solely for informative purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. The risk of loss in trading commodities can be substantial. You should carefully consider whether such trading is suitable for you in light of your personal circumstances and financial resources. Only risk capital should be used.
Log In or Sign Up to comment


No comments have been posted, be the first one to comment.
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