Slowest news day in markets today-which the market reflected. Spread between South America & U.S. prices. Export numbers from the U.S. Weather still being talked about = more rain then anything else. Weekly Crop Progress. Wheat movement on the market. Livestock market was relatively quiet as well. Cold Storage report due out tomorrow.
LINCOLN – Today, Governor Pete Ricketts and Nebraska Department of Agriculture Director Steve Wellman met with leaders involved in Mexico’s ethanol industry. The Mexican delegation is studying Nebraska’s ethanol production and infrastructure. Earlier this week, the group visited an ethanol plant in Hastings, a blended ethanol fuels distributor in Grand Island, and a blending terminal in Doniphan.
During his remarks to the Mexican delegation, Governor Ricketts highlighted the agricultural, financial, and environmental benefits of ethanol. Nebraska produces over 2 billion gallons of ethanol each year, which ranks second among all U.S. states.
Mixed market for a Friday. Winds across the Midwest will see some dry down options with the winds moving through ahead of the storms. Harvest grind is finally here. China trade talks, USMCA-trade has drug on for so long we need to see something signed. Great leg up on the cash. Light trade in the south. Saturday sales possible? Futures market overprices vs. cash. Good correction. Profit in the calf market. Profitability in the feedlots as early as December.
Markets continue to talk about the delay in harvest, the snow in the Dakota’s & wet weather elsewhere. Growers also need to focus now on the 2020 crop before 2019 crop is out of the ground.
Overnight markets set the stage for a Thursday day trade. The talk of certifying acres once again in North Dakota & Minnesota. Choppy trade continues with harvest delays & snow in the Dakota’s & Minnesota & wet weather elsewhere. Livestock continue on an uptrend & a knee jerk reaction to the explosion in Dodge City KS.
Lower corn & beans, higher wheat. Crop progress report, some flags from South Dakota gave the national picture a bias. Another storm system is moving in. Some open days to get field work done. Bloomberg story with misleading story. African Swine Fever update. Exports to China. Stronger cattle market.
What are the current factors that the market is watching currently?
Corn and soybean yields & Harvest weather. South American Weather, Chinese Trade Talks. What impact will the snow and freezing temps have on the corn and soybean yields? Do you think the extent of the damage from the freezing temps and snow are fully factored into the markets? How does the harvest weather look to you and what impact do you think that will have on harvest basis levels?
Day after WASDE. Highlights of corn & beans. Some of the key points to keep in mind going forward. Until we have a trade agreement, we don’t have a trade agreement. Tough growing season & slow harvest. We got the early frost. Friendly S&D report. Will we see a basis change with the continued harvest delays? 7-10 days in the Dakota’s.
Reaction to today’s WASDE report. Weather puts a crimp in harvest, demand for beans is better then corn. S&D report also out for livestock. Seeing a lot of nervous action in the trade.