After a largely disappointing corn harvest, soybean yields are looking better in early action.
Corn prices rallied 7 days in a row as of last Friday, marking the potential for a top in that market. So far, that may be confirmed by the recent price action of corn.
We had a downside reversal Monday formed in corn, and recently corn has struggled with mostly lower prices in spite of a sharply lower dollar the past 2 days (based on FED talk of desiring inflation).
The roller coaster price action in wheat continues as the world gets a better handle on production and stocks for wheat but also from the persistent strength in corn which has lent very solid support to the entire wheat complex.
CHICAGO, Illinois--(Agriculture.com)--Following any USDA report, traders try to answer the question of what's life going to be like.
Based on Friday's government report that lowered 2010 U.S. corn yields and raised U.S. soybean production, keeping world stocks virtually unchanged, going forward, demand is the new buzz word for the grain markets, Tim Hanngan PFGBest.com senior analyst says.
Showlists are larger in the south and a bit smaller in the north; overall numbers are up on the week.
Packers have opened with bids of $96.00-$96.50 live and $152 dressed. Feedlots are still asking
$100.00 live, but the collapse in futures on Tuesday has hurt their case quite a bit. While feedlots came
into the week expecting to force packers to pay up, it now appears that they may be lucky to get steady
money unless the board turns around.
CHICAGO, Illinois (Agriculture.com)--At mid-session, the CME Group grain markets trade mostly lower, wheat remains higher Thursday.
At mid-session, the Dec corn futures are 1 3/4 cents lower at $4.45. The Nov. soybean contract is 2 1/2 cents lower at $10.03. The Dec. wheat futures are 8 3/4 cents higher at $7.17 1/2. The Dec. soymeal futures are $0.40 per short ton lower at $293.20. The Dec. soyoil futures are 9 points lower at $40.03.
While wheat and soybeans continue to languish in its recent ranges for
prices, with Dr. Jekyll and Mr. Hyde type trading back and forth, the
corn continues to march higher in a steady manner, with no sign of a blow
off top yet in corn. Corn has rallied to near 2 year highs, with it is
pushing against the resistance at about $4.50 futures.
What seems to be driving the corn market higher?
While many talk up the poor corn yields so far in the southern most Corn
Weather remains the key concern for the wheat complex as the Northern Hemisphere tries to wrap up the harvest and the Southern Hemisphere kicks off its growing season.
Persistent rains in Germany have all but robbed the remaining harvest of any quality and are also reducing yields. It looks like what is left in the fields will just grade feed wheat at best and millers in Germany are looking at the Baltic States or Sweden for imports of milling quality wheat.
CHICAGO, Illinois (Agriculture.com)--It's considered an early U.S. harvest and maybe even a fast one. With harvest activity well underway, corn and soybean yields are being reported throughout six states already.
For farmers in Louisiana, the corn harvest is nearly completed, while Illinois and Indiana farmers are opening up some of their first fields. Overall, the soybean yields coming out of the Delta are very impressive. The Delta's irrigated corn yields are average-to-above average, while the dryland corn is disappointing, yield reporters say.