DTN Closing Grain Comments

By Darin Newsom
DTN Senior Analyst

General Comments:

December corn was 2 3/4 cents higher at $3.39 with March 3 3/4 cents higher at $3.53 1/2. January soybeans finished 1/2 cent lower at $9.92 1/2 with March also down 1/2 cent at $10.04 1/4. March Chicago wheat closed 5 1/2 cents higher at $4.34 3/4, March Kansas City climbed 3 3/4 cents to $4.31 1/2, and March Minneapolis added 1 cent to $6.23. The U.S. dollar index was 0.03 lower at 93.18 while March 30-year T-bonds lost 1' 2/32 to 152'04. February gold was $11.90 lower at $1,287.30 with March silver down $0.313 and February copper off $0.0315. The Dow Jones Industrial Average rallied 90 points to 23,926. January crude oil lost $0.88 to $57.11. The December distillates (heating oil) contract was $0.0296 lower, December RBOB gasoline lost $0.0420, and January natural gas gained $0.047.

Corn:

Corn was able to hold its rally through Wednesday's session on light buying from both commercial and noncommercial traders. December struggled a bit, losing ground to deferred contracts as it prepares for first notice day on Thursday. The fact contracts closed near session highs should provide support early in the overnight session, though holding gains through Thursday morning could be difficult.

Soybeans:

Soybeans closed fractionally lower with contracts accomplishing little more than consolidation over the course of Wednesday's session. There is little fresh fundamental news to provide direction, with the market anticipating continued slower than needed total marketing year export shipment numbers in Thursday's weekly update. The slightly lower close could open the door to continued selling overnight, possibly putting spillover pressure on corn.

Wheat:

The wheat complex, including the Minneapolis spring market, was able to close higher Wednesday. Chicago led the charge on solid commercial buying, for the second day in a row, followed somewhat closely by Kansas City. While the logical assumption would be the strong close should lead to a higher early overnight trade, wheat is capable of reversing course with little notice. Much will depend on whether or not commercial traders continue to buy.

Darin Newsom can be reached at darin.newsom@dtn.com

Follow Darin Newsom on Twitter @DarinNewsom

(BAS)

Copyright 2017 DTN/The Progressive Farmer. All rights reserved.