Corn futures finished at the lowest level since late November today as the lack of export news continues to push markets lower. The USDA is still in partial shutdown which leaves the trade to wonder if much of any export business is being done. Weak ethanol margins have slowed the weekly grind in recent weeks. The funds do hold a net long position in corn of around 100,000 contracts, and they have little incentive to add to that currently. March corn did close below the 20, 50, and 100-day moving averages today. Reports that very little progress has been made on the big trade issues with China weighed on all ag products today. There remains hope that China will buy U.S. corn. Ethanol numbers will be out tomorrow.
Soybeans closed a dime weaker today on renewed concerns about trade negotiations with China. A news story circulated today that noted that U.S. trade reps have seen very little actual progress in the key trade discussion points. This news disappointed the trade and sent futures lower. March beans traded under key support at $9.00 and finished just above the 100-day moving average near $8.91. Despite concerns about the U.S. export program, domestic crush remains a bright spot. The monthly NOPA report for December, released today, showed 171.76 Mln. bu. of beans was crushed during the month. This was a record for the month and the 3rd highest monthly total on record. The outside markets traded contrary to the sentiment in the ag commodities with both the DOW and crude finishing higher today.
7-day precip forecast (Jan 15-Jan 22) Have a good & safe night!
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