Grain Exchange – 6/16/2020
This week is starting slow as the lack of market news keeps the trade in a tight range with prices settling mixed, but little changed yesterday. A big bean sale to China was great news but did little to attract many buyers as beans were only traded above unchanged for a short time yesterday.
Corn prices fell fractionally Monday but have been grinding out slow yet consistent gains over the past six or seven weeks since July futures bottomed out at $3.00 in late April. Today, July and September each slipped 0.25 cents lower, close to $3.29 and $3.34 respectively.
Soybean prices fell slightly yesterday on some light technical selling as traders attempted to balance another large sale to China with this year’s fast-planted, high-quality crop that has massive production potential. July futures dropped to $8.70, while August futures fell to $8.71.
Wheat prices were mixed Monday in a choppy session that left most contracts higher amid some technical buying. July Chicago SRW futures gained 2.25 cents to $5.04.
With 1/3 of the trade year passed, China has only purchased 12% of their total Phase 1 commitments. Just saying!
Weekly crop progress report:
Corn planted 95% vs. 92% avg.
Conditions 71% good/excellent, down 4% from last week – a surprise decline
Soybeans planted 93% vs. 88% avg.
Emerged 81% vs. 75% avg.
Conditions 72% g/e, unchanged from last week, as expected
Winter wheat headed 91% vs. 94% avg.
Winter wheat harvest 15% vs. 15% avg.
Conditions 50% g/e, down 1% from last week and vs. 51% est.