Weekly Market Wrap-Up
Grain Market Commentary
Friday, September 6, 2019
by Paul Matthews, Account Representative, The Andersons
The week kicked off Monday night after a long weekend quiet and weaker with new Chinese tariffs going into effect Sunday. There is much anticipation looking ahead to the USDA report on the 12th of this month – this will be the first yield of the year that is utilizing objective survey data. The overall feel on Monday was weaker fueled by weather models showing temperatures staying within normal ranges which will aid in maturation of crops.
Wednesday began with a slightly firmer tone coming off Tuesday’s sharply lower trade which saw December corn trade a new contract low again at the close of the day. Outside markets on the other hand have begun to react favorably to news out of Hong Kong which may see an end to violent protests. These protests have added to uncertainty and kept markets on edge for some time.
Early Thursday saw markets a bit firmer given a technical bounce amid oversold conditions and news that the U.S. and China may resume trade talks this month. Despite this, soybeans finished sharply lower due to wheat cash markets and a warmer forecast over the next few weeks.
Friday trade ahead of the weekend was very light especially ahead of the looming USDA report next week.
Informa released their estimates Friday with corn yield at 169.6 bpa and soybeans at 48.4 bpa which are both in line with the USDA numbers. Weekly export numbers were also within expected ranges for the week.
December corn opened the week at $3.695 and closed at $3.55 a 14-cent decrease.
- Corn rating this week was reported at 58% this week, up 1 point from last week.
November soybeans opened the week at $8.6625 and closed at $8.58, a 8-cent decrease.
- Soybean rating this week was unchanged reported at 55%.
December wheat opened the week at $4.63 and closed at $4.64. A 1-cent increase.
Stay tuned to andersonsgrain.com for the latest commodity market information.