Morning Comments; Wednesday, February 6th, 2019
MaxYield Cooperative - SETZ - Wed Feb 06, 4:59AM CST

Corn and soybeans are steady on the overnight trade.

FC Stone lowered their soybean production estimate for Brazil yesterday afternoon from the previous estimate last month of 116.3 MMT to current estimate of 112.2 MMT. The USDA’s most recent estimate was back in December at over 122 MMT, which would surpass the 120 MMT record crop produced last year. Brazil’s crop has battled hot and dry weather, which accounts for the drops in estimated production.

Markets are still holding onto optimism that a trade deal between the U.S. and China will be worked out. Top-level negotiators from both countries met last week in Washington to work towards an agreement. Few had any expectations of an agreement being signed after the two days of talks, but both countries are saying the negotiations went well. President Trump stated he will meet with the Chinese President later this month in a bid to close a deal.

Market Movers: Trade negotiations with China, upcoming USDA reports and fund activity

For more information, you may contact Kristi Guse at (712)-260-6486, or e-mail at kguse@maxyieldgrain.com. The opinions and views expressed in this commentary are solely those of Kristi Guse. Data used in writing this commentary obtained from various sources believed to be accurate. This commentary is intended for informational purposes only and is not intended for developing specific commodity trading strategies. Any and all risk involved with commodity trading should be determined before establishing a futures position. Please visit our Risk Disclosure Page for more information on commodity trading.




 

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