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Thursday, April 24, 2014

FC Morning Grain Market Commentary

Good morning!

The weekly export sales report was out this morning and it was pretty much as expected.  Corn sales were decent – right in the middle of the range of guesses.  Soybeans sales were near zero (but still a touch positive) which is actually right in the middle of the range of guesses.  New crop soybean sales were a little disappointing, which could cause new crop prices to lose a little ground to old crop today. Old crop soybean meal sales were big, which will offer support to beans.  Overall – not much to see here. 

Generally speaking corn and wheat are both trading weather, and they both view the weather forecasts as friendly.  Wheat is rallying thanks to dry weather in the plains while corn is rallying thanks to wet weather in the corn belt.  Long term, this moisture we have been getting will likely be viewed as bearish to corn prices (we need the rain) – but not until we know the crop is in the ground.

Opening Calls
Corn 1 to 3 cents higher
Soybeans 3 to 6 cents higher

Have a great day!
Dustin Weiner 

Tuesday, April 22, 2014

FC Hosts Iowa Central Community College Students

On April 15, 2014, we hosted 15 students and their instructor from Iowa Central Community College at our Farnhamville location.   

Kathy Carlson and Tyler Farnham started the morning by showed them a brief presentation on FC and our history. They shared facts about the company, and tips on pursuing a career.  The ICCC group were then given a tour of the Farnhamville location.  The students were able to see the behind the scenes of the grain and agronomy departments and what makes a co-op function.  Along the tour they were also able to go inside the new fertilizer shed and see the technology that’s being utilized in today’s operations.  They wrapped up the tour with being given a new FC hat and all took a minute to pose for a class photo in front of their bus!

Thank you to ICCC for spending the morning with us, we enjoyed having you!

FC Morning Market Commentary 04.22.14

Good Morning! 

Overnight markets a little higher on thoughts that maybe yesterday’s down move was a bit overdone, although price rally potential may be capped by overall good spring weather for planting, and trade reports of additional Brazilian beans and Argentine sbmeal imports to the eastern half of the US. Today’s weather looks pretty good everywhere.  2 fronts to pass thru the Midwest this week, first one tomorrow then second over the weekend. Both carry pretty good chances of rain.  National corn planting progress was 6% yesterday, trade was expecting 10-12%.  Not concerning yet, as with good conditions nearly half the US corn crop can be sowed in  a week. Other news light this am, equities slightly higher and energies slightly lower.  Re-opening grain calls will be higher….corn up 3-4 and soybeans up 3-5.

Jon Setterdahl

Monday, April 21, 2014

FC Market Commentary Afternoon 4.21.14

Tough day in the markets to start the week.  Corn/beans/wheat all lower on generally good weather and the lack of escalation in Ukraine over the weekend.  Weekly export inspections out this am were huge on corn at 62.9 mln bu, slow on beans (as expected) at 5.1mln bu.  Weekly planting progress just out this afternoon shows corn 6% planted nationally.  Iowa was 2%.  Market was expecting a national number of 10-12%, so this may be a bit supportive to prices tonight.  Weather calls for good precip chances Wednesday and again over next weekend.

Jon Setterdahl
FC Coop
Ames, Iowa

FC Market Commentary 21 Apr 14

The markets started Easter Sunday higher last night – mainly in soybeans – but gave way to selling pressure and this morning we now see corn, beans and wheat all in the red.  The talk overnight was that risk premium was being taken out of the markets as the situation in Ukraine seems to have improved.  Leaders from the U.S., EU, Russia and Ukraine reached an agreement last week, at least making an attempt at a peaceful resolution.  This is allowing the grain markets to relax a bit. 

This afternoon, after our markets close, we will get the weekly planting progress report.  The market is expecting corn planting to be somewhere around 10% complete.  This is close to our average and will confirm the market sentiment that planting, so far, is “normal”.  Between good prospects for the 14/15 crop and Ukraine improving – corn has struggled to stay positive lately.  Last night May corn traded to the lowest level since the March stocks report…

The outside markets are mixed with Crude Oil lower at this time (DN 25 @ 103.12) along with a higher US Dollar (138.06 vs. Euro) and the US stock market is higher (UP 8).

Opening Calls
Corn down 4 to 5 cents
Soybeans down 7 to 10 cents

Have a great day!


Friday, April 18, 2014

Safety Tips for Planting Crops

Six tips to keep in mind in preparation for planting:
1. Transport Safely: Be mindful as you transport equipment on public roadways. It is recommended to provide the traveling public with many signs to warn them you’re moving more slowly than they are. Newer equipment features a wide variety of warning systems, such as flashing lights, extremity markings and slow-moving vehicle signs. It is also recommended to bringing older equipment up to date to meet modern standards.
2. Follow the Label: When applying products like herbicide, pesticide, or fungicide, it is important to read the label thoroughly. Do not overlook precautionary statements, such as those urging you to wear long sleeves or protect your eyes. Keep a book of product labels handy in case a chemical gets on your skin or in your lungs. Not keen on keeping a book? Just snap photos of the label on your phone.
3. Maintain Equipment: Keep every piece of equipment on your farm serviced. Even if you serviced a machine before putting it away last season, that does not mean it will be in perfect condition when you take it to the field this year.
4. Store Fuel Properly: Store fuel away from your machine shed. If problems arise and a fire erupts, keeping your fuel tank a safe distance away from buildings will offer the best protection.
5. Stay Healthy: Spending long hours in the field does not mean you should skip meals or rest. Without an adequate amount of sleep and proper nutrition, you will be operating at a reduced level in the fields. Follow the recommended guidelines for sleep and diet. To stay well rested, the Centers for Diease Control and Prevention suggest between seven and nine hours of sleep per night for adults. To make sure you’re eating right, use the U.S. Department of Agriculture MyPlate guide.
6.  Watch for Children: Large pieces of equipment that make a lot of noise will attract a child’s attention. Avoid carrying your children on your farm equipment.

Thursday, April 17, 2014

FC Morning Market Comments

Good morning!

The markets ended up mixed overnight, with soybeans trading higher for most of the session only to fall back towards steady at the 7:45am pause while corn followed a similar – but less volatile arch. Soybeans once again made new contract highs last night, it will be interesting to see if they try to test those again during the day session today. 

The weekly export sales this report came out this morning and sales made last week were about as expected for both corn and beans.  There were once again extremely small but still net positive old crop export soybean sales made last week.  AKA – no cancellations.  This should support old crop beans once again.

The 6-10 day forecasts (at the bottom of this email) show above normal temps and precip for next week for most of the Midwest.  Sounds like rain this weekend followed by warmer temps – which isn’t all bad.  This forecast is viewed by the trade as favorable for planting this spring (read: a little bearish to prices).  You will also see in the new drought monitor released this morning that parts of Iowa are seeing improvement – and with rain coming this weekend hopefully that will continue.

*** REMEMBER – NO MARKETS TOMORROW ***.  The CBOT is closed for the Good Friday / Easter holiday.  They will resume again Monday morning. 

Have a great day and weekend!