Hedge recommendation: Recommend buying the August short-dated new crop 11.00 put at $0.28 The recommendation is on 50% production. Per the newsletter, this option expires on July 24 and covers 2 acreage crop reports, spring planting, and early summer weather. If the option expires worthless, this implies the current values could be much higher, allowing…
The grain trade recovers from early-week selling. Corn, soybeans, and wheat moved higher during overnight trade as new buying interest entered the market. Outside markets have begun to stabilize following the initial shock of the U.S.-Iran conflict, though most sectors remain firm. Strength in the energy complex is especially supportive for agriculture through its connection…
Grain markets are softening as calm returns to the energy markets. Grain futures are softening across the board this morning as the crude oil market, though elevated, is showing a sense of calm. A conversation late yesterday from the administration is that they are considering insuring and escorting vehicles through the Straits of Hormuz, which…
Midnight Rally, Morning Reality Presented by Heartland Investor Capital Management Inc. CTA https://vimeo.com/1170068676 Corn: Overnight strength followed crude oil higher before early session selling pressure hit the market. Farmer selling remains active on rallies with ample bushels still unsold. First new crop December sale executed at 473 representing a 15 percent position. That price sits…
Turnaround Tuesday is right on time. Grain futures are higher this morning, as we said in yesterday afternoon’s newsletter, a turnaround on Tuesday was likely. Despite yesterday’s selling, Friday’s lows were never exceeded, so yesterday became a higher high with a higher low on the daily bar charts. Taking a chance in the Strait of…
Geopolitics drive overnight volatility. A sharply higher start welcomed the first trading day of the month for grain futures, as the outside markets of energy and metals provided supporting opening, more specifically, soybean oil. Immediately after the opening, hedge selling hit corn, wheat, and soybeans. By the end of the morning session, wheat showed mixed…
Weekly and monthly chart gains in the grain complex today look potentially impressive. That is, if the day selling vigilantes lose their influence today. Grain futures found follow-through buying last night as we roll into the end of the month. Wheat futures led the overnight strength, recapturing the bulk of their losses on the week…
Cattle Stumble Presented by Heartland Investor Capital Management Inc. CTA https://vimeo.com/1168625557 Corn Quietly improving structure as soybeans lead No technical damage yet and watching for follow through strength Weather not currently a bearish driver Soybeans 27 cent range and near unchanged close after China headline break Trend intact and consolidation ongoing Target zone 1196 to…
Again, new annual highs overnight for soybeans and soybean oil. Soybean futures are again higher today, along with corn in tow. Soybean oil is again reaching new annual highs, as the Trump administration has released a plan that will require big oil refineries to make up for at least half of the biofuel blending volume…
Just a note that corn is waking up ahead of first notice day. A close above 441 in May corn today would reopen the upside movement.
