Posted in Blog, Grain
Finally, some great weather to get harvest in full swing! Please make sure to sign up for our grain alerts. This will keep you up-to-date on hours or special events happening at your delivery location.
The grain market has been having a tough week. The stronger dollar and technical selling has the US out of the export market. Wheat and soybean meal were the big loser on Wednesday pulling corn down and soybean with them.
Corn has been steadier compared to all other grain markets. Ethanol production is up this week to 301 million gallons compared to last week at 297 million gallons. Currently that is 1.4% lower than last year at this same time. Negative ethanol margins are keeping production low and we most likely will not see the normal ramp up in October thru December.
China’s soybean imports from Brazil are up 20% and nearing nothing from the US. According to the Wall Street Journal this morning, US is refusing to resume trade negotiations with China until China comes up with a proposal to address the US concerns about forced technology transfers, along with other issues. The G-20 Summit is next month, Trump and the Chinese President are still set to meet during this time.
Landmark Services Cooperative offers a variety of marketing options for you grain. You should be contracting corn for fall 2019 and spring 2020. The price builder bonus contract is offering 4.37 board for delivery in Fall 2020. This is a great way to start putting layers out there. Always remember to put offers in for now and the future. Just a final thought, you will be planting your fall ‘19 crop in less than six months!
Be safe and enjoy the great weather!
Posted in Blog, Grain
On a positive note the sun is shining, and the combines are rolling through the fields. The drier forecast and dismal export numbers sent the markets lower today. Beans were down 2.5% for the day, with corn and wheat down 1%. Soybeans fell through support at $8.71. The next support is $8.52. There are reports small amounts of damage due to weather.
Corn prices also were down due to harvest pressure and bearish export data. If drier conditions stay drier and harvest pace speeds up that will apply more downward pressure on the market in the near term. The extended weather maps look wetter so after bean harvest there may be another delay.
Wheat prices continue to move lower on spillover of corn and soybeans. Wheat export of 18.1 million is behind the weekly rate needed to match USDA forecasts.
It seems like the focus of the market continues to be the large supply and little on the demand side. Right now, the markets are under extreme harvest pressure and react accordingly. At some point the market will turn to the demand issues more than the current supplies.
Please take the time to be safe this harvest season. You are our number one commodity!
Keep in touch with your grain marketing specialist to help you come up with a plan for your unpriced bushels.
Keep up to date on harvest hours and important announcements by signing up text alerts.
Posted in Blog, Grain
The Tuesday trading session has been much softer than the bump we saw on Monday. The soybean market is retreating after there is talk that two soybean cargoes were booked by Sinograin and will be loaded without the tariffs. This means that there isn’t any stance on the policy change from the Chinese government. Markets also seeing losses after being impacted by profit-taking and technical selling today.
Weekly corn export inspections were 39.2 million bushels, which was below the trade estimate of 47-59 million bushels. Wheat exports were within trade expectations at 16.6 million bushels.
Crop progress reports out yesterday rated the corn conditions at 68% good/excellent vs. 65% last year. Soybean crop conditions are said to be 66% good/excellent vs 61% last year. The USDA puts the US corn harvest at 39% complete vs 27% last year. US bean harvest is at 38% complete, vs 47% last year.
Farmers across the US, and specifically here in Wisconsin may be disagreeing with these crop ratings as several are reporting yield losses from the field with the cold wet start to harvest. We’re finally getting rolling this week, as the sun has started to shine! The forecast is showing seasonally cool, but mostly dry weather for the next 7-10 days.
As we continue to pick up the pace with harvest, don’t forget to sign up for our text alerts for facility hours and market updates! Check in with your local grain office or marketing specialist if you need help signing up!
Have a great day!
Posted in Blog, Grain
The USDA crop report was released yesterday at 11:00 AM. Corn production is forecast at 14.8 billion bushels, down slightly from the September forecast but up 1 percent from last year. The yield was estimated at 180.7 bushels per acre. This was down 0.6 bushel from September but up 4.1 bushels from 2017. This was 1.1 bushel below the average trade guess. If realized, this will be the highest yield and the second highest production on record for the United States. With the lower than expected yield the market did react positively with a higher trade. Corn closed 6 cents higher on the day. Overnight corn has traded both sides of unchanged.
Soybean production is forecast at 4.69 billion bushels, down slightly from September but up 6 percent from last year. Yield was estimated at 53.1 bushels per acre a new record for US soybeans. This was an increase from 52.8 bushels per acre last month and lower than the average trade guess of 53.3 bushels per acre. Many in the market are saying this will be the highest production number we will see as the wet weather conditions are contributing to possible field loss and quality issues in soybeans. These numbers are not bullish, but the market is trading a bit higher on the fact that the reported yield was still a bit less than expected.
US ending stocks in corn were reported at 1.813 billion bushels and soybean ending stocks were reported at 885 million bushels. Corn ending stocks are getting smaller year over year with 2017 crop ending stocks reported at 2.140 billion bushels. Corn demand remains strong. Soybean ending stocks are burdensome with the opposite story on demand. 2017 crop ending stocks were reported at 438 million bushels.
Wheat was really a non-event. World wheat stocks are declining a bit but with a 956-million-bushel carryout in the US we are not going to run out anytime soon. We need to see exports pick up in wheat to help the demand issue. Locally in Wisconsin winter wheat acres might be down due to wet fields making it difficult to get the seed in the ground.
Weekly export sales reported today were disappointing on corn, wheat and soybeans. All were below expectations. Corn was at 39.63 million bushels; wheat at 12.46 million bushels and soybeans at 16.15 million bushels. The lack of Chinese soybean demand is clearly evident. Last year at this time the U.S. had 921 million bushels of soybean sales on the books compared to 755 million bushels this year.
On a positive note it looks like the weather pattern may finally be changing and we can get to harvest. Please contact your Landmark location for harvest hours and any additional needs you may have.
Posted in Landmark News
COTTAGE GROVE, WI, Oct. 11, 2018 — Landmark Heating and Cooling team members in Cottage Grove, WI, know that the frigid winter temperatures will be here soon. That’s exactly why they spent the day of October 6th helping a deserving Madison family.
The Landmark Heating and Cooling team donated all labor and installation materials to install a brand new high-efficiency furnace, which was generously donated by Lennox Industries, for a Madison family whose existing unit was severely damaged during the widespread flooding in May.
The Wisconsin family was nominated and selected as part of the “Feel The Love” program, which asks members of the community to nominate people who are in need. Nominations for the program are accepted year-round, with recipients chosen based on specific criteria each September—before the temperatures start to drop.
This is the 9th year that the Landmark Heating and Cooling team has participated in the program by donating all labor and installation materials to the project. Lennox Industries donates the furnaces and Honeywell thermostats, also at no cost to the recipients.
“It’s such a rewarding program to be a part of,” says Tom Stangl, sales coordinator at Landmark Heating and Cooling, “There’s no better feeling than knowing that you’re bringing warmth and a sense of security to a well-deserving neighbor in your community. For me, it’s a great way to spend a Saturday.”
Posted in Blog, Grain
The grain markets are trading a little softer to start this week. Many are waiting for the USDA report on Thursday to see what yields and carryout will be. The average estimates for Thursday’s report are for corn yield to be 181.8 and ending stocks to be 1.9 billion bushels. Soybean yield to be 53.4 and carryout at 860 million and wheat ending stocks to be 1.027 billion bushels. None of those numbers are bullish from a US perspective. Keep in mind though that demand has been excellent and world stocks on corn and wheat are trending lower.
The weather forecast is looking a bit drier going into the 8-14 hopefully allowing for some harvest. The harvest delays are allowing for elevators to get grain moved and help with logistics in some areas. The soybeans in the south have had some quality issues which is making it more difficult for those soybeans to find a market. They are anxiously waiting for some better-quality Midwest soybeans to blend with. If it doesn’t quit raining the Midwest may have some quality issues as well.
The export inspections and crop progress reports were delayed until today due to Columbus Day. Both the corn and soybean crop are expected to be about 35% completed on harvest. One thing to watch on winter wheat is with the late harvest will some acres not get planted. That may especially be true here in Wisconsin.
President Trump is expected to announce year around use of E-15 ethanol. The impact on corn will be limited with only 20-25 million bushels of increased corn demand because E-15 is already available 9 months out of the year and less than 2% of retailers offer it.
Hopefully we have dry weather to get this harvest moving along. Let us know how we can help with your marketing or storage needs. Be safe and stay dry.
Posted in Blog, Grain
October started out with the announcement of the completion of the Canadian part of the US/Mexico/Canada trade agreement (USMCTA) which sent corn and bean prices sharply higher. Going forward with the completion of NAFTA is the optimism that the upcoming trade negotiations with the EU and Japan will lead to a positive outcome with China.
Export inspections continue to impress at 52.9 million bushels, well above the weekly rate needed to reach USDA’s forecast for the 2018 crop. Through the first four weeks of the new marketing year inspections are up 47%, while USDA forecasts only a 6% increase.
The Commerce Dept indicated that India is interested in increasing US agricultural imports with a new trade deal. India’s government has targeted personal income growth of 15-20% in the years ahead which means that more protein and dietary options are needed. Currently India’s population is 1.342 BILLION people and growing by roughly 15.5 million people per year. India accounts for 17.6% of the world’s population. India will pass China in the next decade as the most populated country and is growing 3x faster than China. If better trade deals are worked out with India and China, the US farmer will have the 2 largest countries and 33% of the world’s population as their biggest customers. That is great market share!
The current weather has pretty much shut down harvest throughout most of the corn belt. On the positive side it has allowed the grain facilities to move out both old and new grain and free up the much-needed space that is going to be needed for this year’s harvest. We at Landmark take pride in the fact that we can get you in and out of our facilities in a timely manner and work with you on closing hours to insure you get the crops in when needed. As always, your Landmark Grain Marketing Specialist are here to help you with all your marketing questions and to add value to your farming operation.
Please be safe out there,
Posted in Landmark News
COTTAGE GROVE, WI, October 2, 2018 — The Cottage Grove Landmark Cenex®-branded convenience store is back and even better than before. Visitors will notice a brand new canopy, a fresh look at the pumps and the bold red-and-white Cenex image throughout.
To celebrate the new and improved store and thank valued customers for their patience, the Landmark Cenex® team invites all customers to attend the grand re-opening at 207 W. Cottage Grove Rd. in Cottage Grove on October 11-13.
The grand re-opening event will kick-off with a ribbon cutting by the Cottage Grove Chamber of Commerce on October 11 at 2:00 p.m. The event will include the opportunity to sign up for our new rewards card, several in-store specials, drawings for prizes including Badger football tickets, gift cards and a Yeti cooler. Free lunch will be served on Thursday and Friday from 11:00 a.m. to 1:00 p.m. Customers are encouraged to stop by, enter for a chance to win prizes and visit with manager, Jarod Leeder.
“We’re so excited to welcome our customers to see what’s new and have some fun while they’re at it,” comments Leeder, “This event is only the beginning. We’re looking forward to providing a valuable service to our community, starting with this grand re-opening and continuing all-year-round.”
Like all Cenex stores, the Landmark Cottage Grove store is locally owned and operated. That means customers enjoy friendly interactions and personalized, hometown attention from people who are committed to quality service and are ready to (finally!) get to work.
Posted in Blog, Grain, Landmark News
This market is a wild ride. Make sure to take time with your grain marketing specialist to have open offers in for this fall and spring 2019 and beyond. The market has been helped by an agreement with Canada and Mexico now called USMCA. This helps the US with $1.3 million in trade. China is on holiday.
Below is harvest progress:
Harvest is well ahead of pace in NE and IA by 10% in beans. 26% of the US corn has been harvested as of 9/30 vs. a 5-year average of 17%. Make sure to sign up for text for harvest hours. This will keep you up to date with the changing hours.