11-19-2018 – Grant Velde

This morning USDA announced South Korea bought 69tmt optional origin corn, Saudi Arabia bought 495tmt optional origin hard wheat and Turkey is tendering for 240tmt of wheat. Vice President Pence had strong words towards China this weekend, saying the US will continue to hold them accountable for unfair economic practices. (putting pressure on the grains)

On Monday the 19th: December 18 corn at 363.75 (resistance @ 370.0 and support @ 360.0) January 19 beans at 876.75 (resistance @ 900.75 and support @ 869.75) December wheat at 498.75 (resistance @ 511.75 and support @ 500.0). Locally basis is staying firm. FCE - Hanley Falls cash market: Nov. 18 corn @ 3.26 cash (-.38 basis) / Nov. 18 beans @ 7.72 cash (-1.05 basis). Current futures spread: corn (Dec 18 to July 19 @ .251/4) and beans (Jan 19 to July 19 @ .391/4). FCE – Hanley Falls Oct. 19 corn $3.47 and Oct. 19 beans $8.34.

The USDA’s second payment amount of farmer aid (US-China Trade war-aid) is expected to be announced sometime around December 3rd. China confirmed another case of ASF at the largest hog producing region of Sichuan. This week will be a short trade week. Wednesday, November 21st will have normal trade hours, then they don’t reopen until Friday, November 23rd at 8:30 am and closes at 12:05 pm. (1/2 day trade)

Price changes for the day before and day after Thanksgiving over the last 8 years:

*December corn: day before 5 up and 3 down.  Day after: 2 up and 6 down.

*January soybeans: day before 5 up and 3 down.  Day after: 2 up and 6 down.


The employees at FCE would like to wish everybody a Happy Thanksgiving!