SunPrairie Grain Morning Comment
MINOT - Oct 25/13 - SNS -- Following is the morning comment from SunPrairie Grain, a division of CHS.
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Market Outlook as of 8:35 AM CDT:
Wheat is 1-3 higher, pretty quiet day today, so wheat trades slightly higher with little fresh news (Mpls Dec last trade 7.54, KC Dec 7.67)
Soybeans are down 7-10 cents, falling with lack of fresh news to do otherwise (Nov last trade 13.03 ½)
Corn is unchanged -1 higher, export sales report yesterday confirms Chinese purchases (Dec last trade 4.40 ½)
Sunflowers are down 0-5 cents, falling with soybeans
Canola is unchanged, futures board is slightly higher but gains will be limited by falling soybean prices
2014 Contracts
2014 Malt Barley and HO Sunflower contracts have been released. Malt barley is at $5.40/bushel today and we are offering tradition and pinnacle. The contract comes with an AOG and three cents/month storage beginning October 1, 2014. HO Sunflower contracts have three delivery periods (F/M, A/M and J/J), AOG of 1,250 lb/acre and flexible pricing. Contracts are going to be offered to those who had them last year first. If you are interested in a contract and did not have one last year please give us a call and we will see if we can get the extra bushels or acres to get you signed up! Thanks!
Upcoming Minot office move!
The time has come! Our Minot SunPrairie Grain and Dakota Agronomy Partners offices will soon be moving to our new location at 1800 13th street SE (just north of Krolls Diner). Monday, November 4th through Wednesday, November 6th the SunPrairie Grain Main and Seed Plant numbers (852.1429 and 852.5608, respectively) and Dakota Agronomy Partners main line (852.3567) will each be routed to a mobile line so we can move our phone equipment to our new office. If you call and get a busy signal please try again or call the cell phone of the person you are trying to reach. We appreciate your patience during the move and know you will find having everyone under one roof much more convenient!
The grain markets are trading on little fresh news to finish out the week with. Soybeans are falling lower with little else to guide price direction. Corn and wheat are pulling their way higher, likely focusing on demand news more than anything else. The US dollar is slightly higher this morning and crude prices are up about 20 cents per barrel. Rising US supplies and uneventful demand are keeping crude prices under pressure lately. US weather has been pretty favorable for harvest progress but that is forecast to change early next week.
The big news in the wheat market this morning is chatter about India decreasing their wheat floor price which would make their wheat more competitive in the global export market. More on that will come later. For now it seems that the wheat market is focusing on strong demand potential more than anything as there is little else that could justify higher prices. Look for us to finish the week on a positive note.
Soybeans are falling this morning as there is no reason for them to do anything else. The market could really use some fresh news to help put wind underneath its sails again. Harvest is wrapping up almost everywhere but North Dakota where it has barely begun. Sunflower prices are at the mercy of soybean oil futures as harvest has really yet to begin for them as well.
Harvest delays have end users scrambling for quick shipment corn which will keep basis levels supported until movement really picks up. When could that be, though? Producers are putting their corn in the bin and hoping for higher prices, so we may not have a huge harvest rush as we expected. The export sales numbers that the USDA released yesterday, though outdated, confirmed Chinese purchases of US corn. Confirmation of Chinese demand got prices pretty excited and hoping for more. With a lack of fresh news and higher wheat prices, corn is just above unchanged this morning.
Kayla Burkhart
Broker/Procurement
SunPrairie Grain
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1600 27th St SE | Minot, ND 58701
P 701.857.9322 | F 701.839.5515 | C 701.720.4682
kayla.burkhart
To discuss this report further or for specific trade ideas please contact me
directly
Kayla Hoffman
SunPrairie Grain
Kayla.Hoffman@chsinc.com
Toll free: 800.735.4956
Local: 701.852.1429
Fax: 701.839.5515
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