Markets
Today’s commodity market news. Featuring expert analysis from Michelle Rook, Jerry Gulke and Pro Farmer Editors.
Based on decades of experience, Jerry Gulke, president of the Gulke Group, is bracing for a big surprise in USDA’s Prospective Plantings Report on March 31.
A proposed government trade policy aimed at boosting U.S. shipbuilding could significantly increase costs for grain shippers.
Shawn Hackett, Hackett Financial Advisors, says corn and soybeans saw risk off profit taking heading into the weekend and have settled into a trading range going into the end of quarter and have priced in early acreage estimates.
Scott Varilek of Kooima Kooima Varilek says cattle have been resilient continuing to shake off any bad news and uncover buying on any break. Grains continue to chop ahead of the weekend.
Dave Chatterton, Strategic Farm Marketing, says corn was supported by strong demand with a 59 million bu. weekly export figure Thursday morning and unconfirmed talk that Brazil was buying U.S. corn.
The anticipation of tariffs led U.S. buyers to stockpile Canadian potash.
Darin Newsom with Barchart says corn is higher again on solid demand and spreading with soybeans.
President Trump’s plan to revive U.S. shipbuilding using massive fees on China-linked ships visits to American ports is causing U.S. coal inventories to swell.
Kent Beadle with Paradigm Futures says all but old crop corn saw more pressure with the risk off attitude regarding tariffs and with acreage estimates being released. Meanwhile, weather propelled cattle to fresh highs.
Rich Nelson of Allendale says grains started lower and are quietly mixed awaiting tariff news and the big USDA reports at the end of the month. Allendale’s annual acreage survey confirms higher corn acres at the expense of soybeans.
Dan Basse, Ag Resource Company, says the February highs may be the highs for the year in corn and soybeans with the headwinds he sees ahead.
Mike Zuzulo, Global Commodity Analytics, says wheat led the price rally and pulled up corn as traders were putting in weather premium and funds covered short positions. Feeder cattle made all-time highs.
EPA announced 31 moves to repeal environmental protections.
Joe Kooima of Kooima Kooima Varilek says cattle and hogs both saw gap higher openings and are seeing triple digit gains with help from the cash. Corn is higher following wheat, while soybeans lag.
Jerry Gulke, president of the Gulke Group, says while he is short term bearish on corn his longer-term outlook is still bullish.
USDA is nearing its March 21 deadline to open applications for $10 billion in economic assistance approved by Congress in December.
Don Roose, U.S. Commodities says corn and wheat end lower with soybeans higher Friday evening up positions ahead of the weekend.
Scott Varilek, Kooima Kooima Varilek, says cattle are awaiting cash direction with producers and feedlots holding out for higher money. Grains are mixed after a higher close on Thursday.
DuWayne Bosse, Bolt Marketing, says grain markets rebounded Thursday on technical buying after holding and bouncing off support areas. Strong export demand was also positive.
Mark Knight, Farmers Keeper Financial, says grains are seeing a technical bounce off support areas wtih strong weekly exports.
The Meat Institute highlighted concerns over unfair trade practices that hinder industry growth.
Alan Brugler with A&N Economics, LLC. says the tariff escalation once again weighed on the grain markets with the EU putting retaliatory tariffs on U.S. grains and threats that Canada would put levies on U.S. ethanol imports.
Tomm Pfitzenmaier, Summit Commodity Brokerage, says grains are seeing pressure on new tariff concerns with the EU as they announce retaliatory measures on ag products.
A bipartisan group of senators urged USDA Secretary Brooke Rollins on Monday to speed up the distribution of $20 billion in disaster relief.
John Heinberg with Total Farm Marketing says grain and livestock both saw risk off selling tied to trade uncertainty, bearish outside markets and recessionary fears.
Brian Splitt, AgMarket.Net thinks USDA is just waiting to get through the quarterly stock report and the planting intentions to make revisions on demand for corn and soybeans.
Kent Beadle with Paradigm Futures says corn is extending gains for a 5th session still in recovery mode after the panic liquidation tied to tariffs. Soybeans rebounded early.
Dr. Vince Malanga, President of LaSalle Economics, says that fortunately, the budget resolution passed the House by the narrowest of margins. However, he notes the Senate version is significantly different.
Ted Seifried, Zaner Ag Hedge, says soybeans and the products saw significant pressure tied to risk off selling and South American harvest pressure, while the rest of the markets were able to shake that off.
Brad Kooima of Kooima Kooima Varilek says live cattle see buying interest after strong cash late last week. Corn tries to hold gains with soybeans seeing South American harvest pressure and concern about China’s 10% tariffs on U.S. soybeans.