Corn and soybean futures have not been hampered by so-called “harvest pressure,” with grain markets mixed in early trading Thursday, according to analyst Joe Vaclavik of Standard Grain.
“Corn and soybean futures have really seen no harvest pressure at all this week,” he says. “As a matter of fact, both markets are higher for the week, so we’ve seen some moderate gains.”
In early trading Thursday, December corn futures were down a quarter cent, trading at $3.39 ¾. Meantime, November soybeans rose 3 ¼ to $9.78 ¾; December Chicago wheat was up 1 ¼ to $4.09; and December Kansas City wheat fell ¾ to $4.21 ½.
Commodities, equities and bonds were up across the board after the U.S. Federal Reserve announced it will not raise interest rates, as some had anticipated. The announcement also pushed the dollar lower against most major currencies, and the price of oil rose to around $46 a barrel, Bloomberg reported.
However, it’s more difficult to find long-term positivity for corn among the massive grain stockpiles, according to Vaclavik.
“This winter, we’re looking at a carryout of 2.4 billion bu., so that’s an extra 5 or 6 million bu. [total] that we’ve got,” he says.
Listen to his full comments at https://soundcloud.com/standardgrain.