Walsh Commercial Hedging 4/3/12
Apr 03, 2012
Good afternoon. Wheat and beans had a choppy two sided trade today while corn continued to stray higher. May wheat finished the day up a penny at 658 after opening the session 6 ¼ lower. Rains in the plains overnight and ideas that the crop may continue to improve helped to spark the early selling pressures. There was talk today of an early wheat harvest leading to a few double crop bean acres. May corn finished the day up 3 ¼ at 658 ¼ and new crop December continues to lag behind ending up a ½ cent at 545 ½. Old crop corn was notably higher during the session on talk of tight holding from producers and limited supply going into late spring, however, sellers emerged into the close as the U.S dollar surged after the release of the Federal Reserve minutes from their policy meeting in March. Also, more fund buying in corn helped push it higher earlier in the session. May soybeans finished down 4 ¼ and new crop November finished down 6 ½ at 1378 ¾. November beans soared to a high of $13.97 but couldn’t break through that $14.00 resistance level. After the early rally pushed the bean market to its highest level since September 12th, sellers came out to take profits once the dollar soared. I still feel that November beans need to get past that $14.00 barrier in order win back any undecided acres out there. Informa will be out tomorrow morning with their world production estimates. We have a short trading week with Good Friday coming up and don’t forget the USDA monthly Supply/Demand report next Tuesday.
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