Grain Futures Quiet Overnight
Dec 16, 2011
· Grain mixed-higher overnight; Corn holding its ground just below 5.80/March while soybeans have been able to bounce, trading near 20 cents off recent lows
· Outsides mostly supportive this morning; US$ lower, crude/metals higher
· China Ag Ministy pegging’11 oilseed production at 33.05mmt, up 2.3% from ‘10
· Argentina exchange raising estimate for 11/12 wheat production to 13.6mmt, up from previous 13.0mmt; Wheat harvest near 50% complete; Soybeans and corn planting 73% and 71% complete, respectively
· Study by Iowa State University shows avg price of Iowa farmland in 2011 rose 32.5% from 2005 levels; Report also shows investor groups made up only 22% of the buyers vs. 39% in 2005
· Informa to release 2012 acreage estimates this morning; COT report from CFTC this afternoon
It’s shaping up to be another slow day in the grain markets. Momentum certainly remains to the downside for corn especially. Soybeans may have found a temporary bottom as long as there is talk about weather issues in S. America. We may have to wait until after the new year for any market-moving news.
As always, call the office with questions or concerns.