Today we saw the SX post its low in the opening range, pop higher early, saw consolidation around the 955 level, then proceeded to the 968 level settling at 967, up an impressive 31 cents… Corn trailed along, exploring the trade above 370, trading as high as 373, then settled up nine cents at 365…Wheat was the weak sister of the three, posting a high of 471, a low of 463 and settling down 5 -1/2 cents at 468.
In the outside markets, gold was 15 bucks off of yesterdays all time high, trading now around 1046, down 9 bucks on the day, ditto for Silver which is down for the day as well trading around 17 cents and change..
Story of the day continues to be relatively surprising action off of the USDA figures. Apparently, even give the bounce higher in the US Dollar, traders are looking to own physical commodities, as a hedge..
November Beans look like they want a shot at 10 bucks, while CZ needs a lot of work to get up the to 4 dollar level. Perhaps the 13 BB crop coming in will be too much, regardless of how severe the freeze is and whether or not it will severely impact yields…
The market is discounting that fact. As far as the Beans, they look like they befitted from concerns about the heavy rains, as well as the continued hedging pressure coming in the corn.. Selling Corn and buying Beans looks to have been the dominant spread today, as well as selling wheat against the beans.
Monday the grains are open, but the fireworks will be at 7PM CST when the electronic market opens up… We will see then how important a factor the impending freeze will have been at that time.
Have a great weekend…
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