Good morning!
Our markets are lower this morning along with most other commodities – weak economic data out of China and the EU are weighing on commodities today. Crude oil has crashed, now below both the 50 day moving average and the 200 day moving average as the funds are slamming that market with liquidation. We are also seeing some profit taking in our grains after yesterday’s rallies.
Ethanol margins have improved to the point where some of the plants that have been shut down since June (one in Indiana, one in Nebraska – both Valero) are beginning to operate again. Long term this is friendly to corn.
The weekly export sales report was out this morning and it was horrible for corn, coming in well below the bottom guess of estimates. Soybeans on the other hand had decent sales, which should support soybean prices today.
The projected weather over the next two weeks continues to be favorable for a quick harvest, which is bearish to both corn and soybean prices in the short term.
Currently
Corn is down 4 to 6 cents
Soybeans are down 5 to 7 cents
No comments:
Post a Comment