May 6, 2016

Corn

CBOT Prices Two Rivers Cash Bid Prices
May ‘16 376’0 +4’2 May ‘16 336’0 +4’0
Jul ‘16 377’4 +3’6 June ‘16 335’0 +4’0
Sep ‘16 379’4 +3’6 July ‘16 340’0 +4’0
Dec ‘16 384’6 +3’2 NC ‘16 337’0 +3’0

 

Soybeans

CBOT Prices Two Rivers Cash Bid Prices
May ‘16 1026’2 +22’6 May ‘16 952’0 +23’0
Jul ‘16 1034’6 +22’4 June ‘16 955’0 +23’0
Aug ‘16 1037’0 +22’2 July ‘16 955’0 +23’0
Nov ‘16 1022’0 +20’4 NC ‘16 951’0 +20’0

 

The grains enjoyed solid gains with no farmer hedge pressure to mention.

Beans closed higher than any other day in this recent rally despite yesterday’s 22 cent loss.

Meanwhile, July corn bounced off the 100 day moving average today near 3.735.

Yesterday’s rumor that China would offer bean auctions being discounted today.

Grains also finding spillover support from the late surge in crude and rally in metals.

The USDA did announce the sale of 132,000 mt of US corn to Israel for 2015-16.

Equities have since turned higher despite today’s disappointing Jobs report.

We added just 160k new jobs in April vs 195k expected, fewest in 7 months.

USDA announces 800k new CRP acres in 2016 bringing the total to 23.8 mln acres.

IA will see an increase of 128,212 CRP acres in 2016, currently has about 1.6 ma enrolled.

The 2014 Farm Bill limits CRP acres near 24 mln; 1.5 ma of applications were rejected.

Commitment of traders report showed funds buying nearly 12k bean contracts for the week

Funds also sold over 11k corn contracts and over 5.5k wheat contracts

May 6, 2016