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The FBN Team provides a macro-focused daily view of the world’s grain markets. Kevin McNew received a bachelor’s degree from Oklahoma State University and his master’s and Ph.D. degrees in Economics from North Carolina State University. He spent 10 years as a Professor of Economics with the University of Maryland and Montana State University focusing on commodity markets and is widely regarded for his ability to boil-down complex economic situations into easy-to-understand concepts for applied life.
Grain basis got a lift this week with US average corn values up 3 cents and soy up 4 cents.
Soy basis was the big winner thanks to dual strengths from the processing and export channels. Soy plants as a group were up 4 cents, with pushes becoming common in the Western Cornbelt. Soy crush margins continue to be record high for this time of year, and with the trade-distorting tariffs in play, US soy crush facilities are a prime beneficiary of lower domestic soy prices while their competitors in South America face escalating soy prices. River terminals also were higher on the week thanks to a modest lift at the Gulf this week.
In the corn market, Missouri continues to see a strong basis as pushes there try to stimulate flow into feed buyers. Ethanol plants also were stronger on the week, with a 3-cent average gain across the group. River terminals however were unchanged on the week.
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