October 27, 2023 Grain Commentary
There were mixed settlements amongst commodities today. Corn and beans are higher, while wheat is lower. The energy sector also had two sided trade, with crude high as natural gas and heating oil are lower. Equities are softer after having a cheerful morning.
Corn– Despite the positive movement in corn today, corn still lost 3% on the December contract for the week; see below for the weekly stats. Wet weather across the Corn Belt has slowed corn harvest down drastically. Recent rains in Argentina have brought slight improvements to the crop that has been planted; however, only 22% of the corn crop is planted so far.
Beans– January beans closed 17.25 cents higher yet closed lower than the week open. The US soybean crush market is getting excited as increased export demand of oil and meal at the expense of Argentina’s drought ridden crop. The US bean market is also perking up with increased Chinese demand. Although there have been some recent purchases of beans, the volume is discouraging as it is less than half of typical contracts.
Wheat– HRW wheat reached new lows, pulling SRW wheat with it. After a three day pause on the Black Sea, Ukraine has started shipping vessels safely again. Wheat harvest is underway in Argentina, but lack of moisture has wheat pegged at 54% optimal or adequate.
The DeLong Co., Inc.
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