Market Trends Commentary for March-April 2019

US and World

It is that time of year again, where farmers are firmly fixated on the coming planting season. The growing of big crops of 2018 is somewhat of a distant memory, but the large supplies they created continue to weigh on grain prices. March is a month that typically ends with a bang for grain markets, as the United States Department of Agriculture (USDA) will announce their prospective planting acres on March 31. With large surpluses apparent across farm country and paralysis going on with U.S. China trade talks, prices continue to drift in the news vacuum.  However, on March 8 the USDA weighed in again with their latest world agricultural supply and demand estimates. (WASDE)

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Market Trends Commentary for February-March 2019

US and World

It has been a long winter for farmers as well as the USDA. Typically, this time of year farmers are busy making plans for the spring season. That continues, but with the government shutdown now over in the United States we lost one of the most important USDA reports, which come usually in the first two weeks of January. The January report always gives us a “final” estimate of the previous crop year is often a flashpoint in markets. When the shutdown ended, it was announced that USDA would release these crop numbers on February 8th. In the vacuum, many observers were fascinated how the market simply trudged on without its addiction on an annual basis to those January USDA numbers.

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Market Trends Commentary for January-February 2019

US and World

It is an unusual mid January for many reasons across the grain complex. One of the main reasons it’s unusual is because there was no final USDA report, which was scheduled for January 11th because of the US government shutdown. Often times the January report serves as a flashpoint for market action putting the final numbers on the previous year’s crop. This year, with the USDA report canceled or postponed all of this drama has been muted. The grain futures market simply forges ahead based on information known and unknown.

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