Daily Ag Direction 8/7/2024
Good Morning!
The financial markets contine to recover accross the US, EU and Asia. Bloomberg reported that the White House is planning to propose limits on Chinese software for autonomous driving. The intention is to prohibit data from being sent back to China. The shipping company Maersk said they are seeing people place Christmas orders earlier than normal because of a potential trade war with China.
A big wave of corn and soybean selling is occuring as farmers clean out their bins to make room for the potentially large upcoming harvest. Seeing mostly corn selling in the US but Brazillian farmers are also looking at a break in its currency as an incentive to move soybeans. It is estimated that the Brazillian farmer still owns roughly a fifth of last years crop.
Corn markets are following soybeans down partially due to poor economic data out of China. Chinese exports in July rose 7% year over year but fell short of the projected growth which brings questions about Chinese demand for imports of US crops moving forward.
Sept ’24 KC Wheat +.25 @ $5.6175
July ’25 KC Wheat +.75 @ $6.045
Sept Corn -3.5 @ $3.8525
Dec Corn -2.75 @ $4.025
Aug Beans -7.75 @ $10.2075
Nov Beans -7 @ $10.1975
Please reach out to your CEA Risk Management Advisor if you have any questions. Have a great day!