Future prospects decline while South American harvest ideas increase

Home » Future prospects decline as South American crop ideas riseSource: Sosland Publishing Co.

Flashback to January 29th

• Growing potential for large South American crops and concerns about demand as the world's leading soy buyer. China's problems with a housing crisis sent U.S. soybean futures below $12 a year to their lowest level in two years on Monday. Weakness in crude oil and strength in the US dollar sent corn futures to a one-week low. The dollar, as well as spillover pressures from soybeans and corn, weighed on complex wheat futures as the European Commission raised its forecast for European Union common wheat inventories. The Corn in March Futures fell 6¢ to close at $4.40¼ per bu. Chicago March wheat fell 6¾¢ to close at $5.93½ per bu. Kansas City March wheat fell 6½¢ to close at $6.18¼ per bu. Minneapolis March wheat fell 10¼¢ to close at $6.93¼ per bu. March soybeans fell 15¢ to close at $11.94¼ per bu. March soybean meal gained $5.30 to close at $354.30 per ton. March soybean oil fell 1.38¢ to close at 45.55¢ per pound.

• Investor positioning ahead of a busy week of earnings reports sent U.S. stock indexes higher, with the DJIA and S&P reporting new record highs on Monday. The Dow Jones Industrial Average gained 224.02 points or 0.59% to close at 38,333.45. The Standard & Poor's 500 gained 36.96 points, or 0.76%, to close at 4,927.93. The Nasdaq Composite gained 172.68 points, or 1.12%, to close at 15,628.04.

• U.S. crude oil prices were lower on Monday. Light, sweet March West Texas Intermediate crude fell $1.23 to close at $76.78 a barrel.

• The US dollar index opened the week positively with a stronger closing price.

• US gold Futures late Monday. The February contract gained $8.10 to close at $2,025.40 an ounce.

Review of January 26th

• Wheat futures fell lower on profit-taking from technical selling, signaling that global exports may be slowing. Soybean futures fell to a one-week low on Friday after the Buenos Aires Grains Exchange on Thursday raised its estimate of Argentina's soybean crop to 52.5 million tons, up about 1% from the previous forecast. Corn futures fell lower on Friday after BAGE a day earlier raised its estimate of Argentina's corn crop to 56.5 million tons, up nearly 3% from its previous forecast. The Corn in March The future fell 5½¢ to close at $4.46¼ per bu. Chicago March wheat fell 12¢ to close at $6.00¼ per bu. Kansas City March wheat fell 12¼¢ to close at $6.24¾ per bu. Minneapolis march Wheat fell 5½¢ to close at $7.03½ per bu. Soybeans in March lost 13¾¢ to close at $12.09¼ per bu. March soybean meal fell $9.20 to close at $349 per ton. March soybean oil Added 0.40¢ to close at 46.93¢ per pound.

• A week of bullish momentum for U.S. stock markets, which included several new record highs, ended Friday with mixed closes but weekly gains. Intel's tepid forecasts sent the company's shares down 12%, the biggest drop since July 2020, and shares of other technology companies such as Advanced Micro Devices, Nvidia and Micron Technology all finished lower. The Dow Jones Industrial Average gained 60.30 points or 0.16% to close at 38,109.43. The Standard & Poor's 500 fell 3.19 points or 0.07% to close at 4,890.97. The Nasdaq Composite lost 55.13 points or 0.36% to close at 15,455.36.

• US crude oil Prices were higher again on Friday. March West Texas Intermediate light, sweet crude futures gained 65 cents to close at $78.01 a barrel.

• The US dollar index weakened towards the weekend.

• US gold Futures relaxed on Friday. The February contract lost 50 cents to close at $2,017.30 an ounce.

Review of January 25th

• Wheat futures continued to rise on Thursday on optimism that North America and Europe could spur some global demand amid geopolitical tensions in the Middle East and terrorism in the Red Sea. Soybean futures fell on Thursday after the USDA said U.S. soybean export sales were 560,900 tons in the week ended Jan. 18, below trade expectations of 700,000 to 1,200,000 tons. Corn futures fell under pressure from large U.S. inventories, uncertain demand and spillover weakness. The Corn in March The future fell ½¢ to close at $4.51¾ per bu. Chicago March wheat added 1½¢ to close at $6.12¼ per bu. Kansas City March wheat rose 11¼¢ to close at $6.37 per bu. Minneapolis march Wheat added 4½¢ to close at $7.09 per bu. Soybeans in March 17¼¢ struck to close at $12.23 per bu. March soybean meal fell $5.10 to close at $358.20 per ton. March soybean oil fell 0.79¢ to close at 46.53¢ per pound.

• U.S. stock markets closed higher on Thursday after a Commerce Department report suggested the economy grew a seasonally and inflation-adjusted 3.3% annualized rate in the fourth quarter, driven by household and government spending. The quarterly figure was a slowdown from the summer's 4.9% figure, but still a healthy rate. The department said the U.S. economy grew 3.1% last year. The Dow Jones Industrial Average gained 242.74 points or 0.64% to close at 38,049.13. The Standard & Poor's 500 gained 25.61 points or 0.53% to close at 4,894.16. The Nasdaq Composite gained 28.58 points or 0.18% to close at 15,510.50.

• US crude oil Prices were higher on Thursday. Light, sweet March West Texas Intermediate crude oil futures gained $2.27 to close at $77.36 a barrel.

• The US dollar index resumed its climb on Thursday.

• US gold Futures Closed higher on Thursday. The February contract rose $1.80 to close at $2,017.80 an ounce.

Review of January 24th

• U.S. stock indexes closed higher on Wednesday, driven by strong performance from the so-called Magnificent Seven: Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla. Investors were encouraged to return to large-cap technology stocks by the idea that the economy was probably too strong for the Federal Reserve to cut interest rates as quickly as some had hoped. The Dow Jones Industrial Average fell 99.06 points or 0.26% to close at 37,806.39. The Standard & Poor's 500 rose 3.95 points or 0.08% to close at 4,868.55. The Nasdaq Composite gained 55.97 points or 0.36% to close at 15,481.92.

• A pause in the U.S. dollar's January rise boosted wheat futures on Wednesday, with the instant Chicago contract rising 2.4% in apparent chart-based trading. The dollar's direction also helped KC and Minneapolis futures rise, offsetting SovEcon's rise in its forecast for Russian wheat production in 2024 to 92.2 million tons, up from 91.3 million tons in December. Corn futures benefited from the dollar's pause, as well as stressful heat in Argentina and expected lower production from Brazil's second crop. Soybean futures were narrowly mixed on Wednesday in choppy trading influenced by South American crop prospects and profit-taking. The Corn in March Future added 5¾¢ to close at $4.52¼ per bu. Chicago March wheat rose 14¼ to close at $6.10¾ per bu. Kansas City March wheat rose 8¼¢ to close at $6.25¾ per bu. Minneapolis march Wheat added 5½¢ to close at $7.04½ per bu. Soybeans in March rose slightly by ¾¢ to close at $12.40 ¼ per bu, with later months narrowly mixed. March soybean meal rose $2.20 to close at $363.30 per ton. March soybean oil fell 0.89¢ to close at 47.32¢ per pound.

• US crude oil Prices were higher on Wednesday. Light, sweet March West Texas Intermediate crude gained 72¢ to close at $75.09 a barrel.

• The US dollar index weakened on Wednesday, closing lower for the second time in seven trading days.

• US gold Futures Closed downstairs on Wednesday. The March contract fell $9.80 to close at $2,016 an ounce.

Review of January 23rd

• Technical buying and short covering following last week's decline to multi-year lows boosted soybean futures on Tuesday. Wheat saw small, mixed but mostly higher moves and corn futures edged higher, both reflecting the weight of weak demand and ample supply against support from short covering and technical buying. The Corn in March Future added ¾¢ to close at $4.46½ per bu. Chicago March wheat was stable, closing at $5.96½ per bu; The later months were mixed. Kansas City March wheat rose 10½¢ to close at $6.17½ per bu. Minneapolis march Wheat fell 1½¢ to close at $6.99 per BU; The later months were mixed and mostly showed an increase. Soybeans in March added 15¼¢ to close at $12.39½ per bu. March soybean meal rose $5.30 to close at $361.10 per ton. March soybean oil Added 0.05¢ to close at 48.21¢ per pound.

• U.S. stock markets posted mixed closes on Tuesday, with declines in shares of 3M, Goldman Sachs Group and Home Depot pushing the DJIA below 38,000 points after breaching the mark for the first time on Monday. Meanwhile, shares of major US companies rose slightly overall, helping the S&P500 to a third consecutive record high. The Dow Jones Industrial Average fell 96.36 points or 0.25% to close at 37,905.45. The Standard & Poor's 500 gained 14.17 points or 0.29% to close at 4,864.60. The Nasdaq Composite gained 65.66 points or 0.43% to close at 15,425.94.

• US crude oil Prices were lower on Tuesday. Light, sweet March West Texas Intermediate crude fell 39 cents to close at $74.37 a barrel.

• The US dollar index The price continued to rise on Tuesday, its fifth higher close in six trading days.

• US gold Futures Closed higher Tuesday. The March contract rose $3.60 to close at $2,025.80 an ounce.

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