AFB Grain-Soybean Close: Markets Pressured Lower
Soybeans were pressured by profit taking following recent gains. After a brief move above $14.50, the lead month of March retraced a portion of recent gains. A break in the dry weather pattern in Argentina and weaker Midwest basis levels added to the downside pressure. However, most farmers remain reluctant sellers at least for the time being. Crop prospects in South America remain excellent and export demand in the U.S. is expected to decline as purchasers move their business south. March will need to close above yesterday’s high of $14.60 to extend this upturn.
Wheat futures were lower again today, but losses were limited by drought concerns. In Australia, wheat prices continue to climb in reaction to ongoing drought. US prices at the Gulf are now some of the lowest in the world, making wheat a more viable option for feeding.
Corn declined, but March remained in a narrow trading range just below the recent high of $7.35. Weak demand from Midwest ethanol plants contributed to a weaker undertone in the corn market. Producers will be making last minute decisions on what to plant and for most corn continues to hold an edge on soybeans. Of course, rotation decisions may alter decisions, but for most corn still holds an advantage. The release of USDA planting intentions data is just over 2 months away.
(Jan) EAST AR: 1430 to 1469
(NC) Summ. 1265 to 1300
(Jan) MISS: 1495 to 1500 ; AR & White 1424 to 1465
(NC) Summ. 1274 to 1320
Ark. Processor Bids: (Jan) 1457 to 1467 (NC) 1290 to 1297
Memphis: (Jan) 1495 to 1497 (NC) 1319 1/2 to 1323 1/2
Riceland Foods: (Jan) Stuttgart 1457 ; Pendleton 1469
(NC) Stuttgart 1290 ; Pendleton 1300
|Chicago Futures:||March||down||14 3/4||at||1437|
|May||down||12 1/2||at||1426 3/4|
|Aug||down||10 1/4||at||1394 1/2|
|Today’s Arkansas LDP rate for soybeans is:||0¢|
Cash bid for January at Memphis 801 3/4 to 804 3/4;
|Bids to farmers at Local Elevators||749-759;|
|Chicago Futures:||March||down||4 1/2||at||774 3/4|
|May||down||4 3/4||at||783 3/4|
|July||down||4 1/2||at||788 3/4|
|Dec||down||3 1/2||at||814 1/4|
|Today’s Arkansas LDP rate for wheat is:||0¢|
Cash bid for January at Memphis 1216 to – – -;
|Bids to farmers at River Elevators||1108-1198;|
|Today’s Arkansas LDP rate for sorghum is:||0¢|
|Cash bid for||January at Memphis 735 3/4 to 736 3/4;|
|New Crop at Memphis 577 to 592;|
|Bids to farmers at River Elevators||727 to 741|
|Chicago Futures:||March||down||7 3/4||at||720 3/4|
|May||down||7 1/2||at||722 3/4|
|Today’s Arkansas LDP rate for corn is:||0¢|
This week’s news in agriculture from Agfax Media.