Pre-6 a.m. Globex Prices: December corn is down 4 cents per bushel, November soybeans are down 4 3/4 cents, and September KC wheat is up 2 cents.
CME Globex Recap: Grains are mixed with row crops softer and wheat markets firmer. Ag trade is increasingly tied to weather model runs and the changes from one set to the next. Traders will be gearing up the balance of the week in preparation for the July WASDE on Friday which will incorporate June 30 acreage and stocks. Some demand changes could hold long-term implications into the 2020/21 marketing year.
Equity trade is mixed to weaker overnight, although U.S. futures are clawing back toward unchanged at the time of this writing while European indices are posting solid losses. Worth noting, the U.S. Treasury just held an auction of various securities which produced a record low yield on 10-year notes.
The 0.63% yield on the 10-year security still shows investors are demanding safe haven assets in the era of the coronavirus. Energy markets are posting small losses overnight while precious metals are firmer with gold actually trading to the highest level since 2011.
OUTSIDE MARKETS: Previous closes on Tuesday showed the Dow Jones Industrial Average down 396.85 at 25,890.18 and the S&P 500 down 34.40 at 3,179.72 while the 10-Year Treasury yield ended at 0.65%. Early Wednesday, the September DJIA futures are down 33 points.
Asian markets are mixed with Japan’s Nikkei 225 down 176.04 (-0.78%) and China’s Shanghai Composite up 58.1 points (1.74%). European markets are lower with London’s FTSE 100 down 20.94 points (-0.34%), Germany’s DAX down 98.93 points (-0.78%) and France’s CAC 40 down 52.88 points (-1.05%).
The September Euro is down 0.002 at 1.130 and the September U.S. dollar index is up 0.091 at 96.930. The September 30-Year T-Bond is up 3/32nds, while August gold is up $5.90 at $1,815.80 and August crude oil is down $0.13 at $40.49. Soybeans on China’s Dalian Exchange were down 0.27% while soybean meal was down 0.75%.