Pre-6 a.m. Globex Prices: December corn is down 2 1/4 cents per bushel, November soybeans are down 5 1/4 cents, and December KC wheat is down 3 1/2 cents.
CME Globex Recap: Grains are not bucking the asset-wide selloff overnight with losses for all contracts. Last week was an impressive run for the ag space and with it came increased producer selling. That trend could continue this week as harvest expands across the Midwest amid favorable forecasts the next two weeks.
Global equity markets are sharply lower overnight with U.S. futures pointed toward sizable losses of near 2.0% later Monday morning. Energy markets are sharply lower as well with spot crude oil off 2.3% while RBOB gasoline futures and natural gas are down over 3.0%.
The U.S. Dollar Index is solidly higher overnight and is moving closer to the 50-day moving average which it hasn’t traded above since the middle of May. Precious metals are weaker overnight with silver off close to 2.5%.
OUTSIDE MARKETS: Previous closes on Friday showed the Dow Jones Industrial Average down 244.56 at 27,657.42 and the S&P 500 down 37.54 at 3,357.01 while the 10-Year Treasury yield ended at 0.694%. Early Monday, the December DJIA futures are down 539 points.
Asian markets are mixed with Japan’s Nikkei 225 up 40.93 (0.18%) and China’s Shanghai Composite down 21.15 points (-0.63%). European markets are weaker with London’s FTSE 100 down 206.05 points (-3.43%), Germany’s DAX down 435.54 points (-3.34%) and France’s CAC 40 down 161.93 points (-3.25%).
The December Euro is down 0.007 at 1.180 and the December U.S. dollar index is up 0.428 at 93.380. The December 30-Year T-Bond is up 34/32nds, while December gold is down $24.50 at $1,937.60 and October crude oil is down $0.92 at $40.19. Soybeans on China’s Dalian Exchange were down 0.41% while soybean meal was up 0.39%.