Early Market Talk

Markets ended 2018 with a $0.24 ¼ cent gain in corn, $0.61 ½ in KC wheat and a loss of $0.69 ½ for soybeans. Hoping for a better 2019.

Grain markets open this morning at 0830 and expected a shade softer with outside mkt influence.

Dow futures open and trading 273 points lower on the heels of some significant losses in Asian markets. Shanghai stocks fell more than 1% with Hong Kong’s Hang Seng down almost 3% Seoul’s Kospi dropped 1.5%. Losses attributed to lingering concerns on economic slowdown, trade tension and rising I rates.

Crude oil slipping 34 pts at $45.07 this morning. Spot crude $15.35 lower for the year but $31.83 off its October 3rd high.

Second day of deliveries on the SF19 contract picked up with 1,109 contracts put out. Term stopped 275 lots. Date current through Dec 28th and still have 7K open contracts. SFSH settled at 12 ½ Monday. 

Taking a historical look at CZ futures price range Jan to expiration since 2008 shows the Olympic ave (high and low thrown out) at $1.91. Will show a chart of that and some more details later this morning.

Some noted soybean basis pushes around the country with slowdown in off farm movement over the Holidays.

China reported yet another case of African Swine fever. This time a farm in Heilongjiang province with 73K pigs affected.

Tweet from DJT; "long and very good call" with Chinese President Xi Jinping and that a possible trade deal between the United States and China was progressing well.

Drier than desired conditions across portions of Brazil have us suspecting the 122 mmt forecast from USDA is the high-water mark for the year. Developing.