December 11, 2015

Corn

CBOT Prices Two Rivers Cash Bid Prices
Dec ‘15 373’0 -4’2 Dec ‘15 345’0 -4’0
Mar ‘16 375’2 -4’0 Jan ‘16 345’0 -4’0
May ‘16 380’2 -4’0 Feb ‘16 347’0 -4’0
Jul ‘16 384’6 -4’0 Mar ‘16 350’0 -4’0

 

Soybeans

CBOT Prices Two Rivers Cash Bid Prices
Jan ‘16 870’6 -7’4 Dec ‘15 819’0 -7’0
Mar ‘16 873’6 -7’4 Jan ‘16 816’0 -7’0
May ‘16 880’0 -7’4 Feb ‘16 819’0 -7’0
Jul ‘16 886’4 -7’4 Mar ‘16 818’0 -8’0

 

An ugly day across the board as financials, energies and grain markets are all pressured.

The corn and bean attempted rally faded due to a lack of news and a slightly bearish SA forecast.

Goldman sees oil to $20 if the world runs out of storage; OPEC pumping @ highest rate in 3 years.

2001 was the last time crude hit $20; at the same time corn was sub $2, beans sub $5 & wheat sub $3.

IEA states the global oil supply glut will worsen in 2016 as Iranian sanctions are lifted.

Traders await the Argentine tax story, the FOMC meeting next week, & the biodiesel tax credit.

Baseline numbers shows 10 year corn demand increasing 1.27 bb with decreasing eth use by year 2025.

USDA baseline numbers pegs 16/17 corn stocks @ 1.755 bb, assuming 90.5 ma, (88.4 ma this year).

USDA baseline numbers pegs 16/17 bean stocks @ 421 mb, assuming 82 ma, (83.2 ma TY).

USDA baseline numbers pegs 16/17 wheat stocks @ 928 mb, assuming 53 ma, (54.6 ma TY).

LTD for Dec futures is Monday, NOPA crush data on Tuesday, last full trading week next week.

Conab raises Brazil’s bean production by .5 mmt to 102.5 mmt (WASDE @ 100 mmt).

 

December 11, 2015