Pre Game Jitters
Steve Bruce of Walsh Trading - - Thu Feb 07, 11:40AM CST

Grain number nerds, like me, are ready to dig into the data which the USDA presents to us tomorrow at 11:00 Chicago time. We've had the time to prepare for the figures and as of this writing the consensus among analysts is that the USDA might decrease final production from the November figures in corn and beans as well as carryover projections in the Supply/Demand reports. Wheat stocks might be a little higher which might mean carryover a little higher than those presented in November. Winter wheat seeding is anticipated to drop close to 1 million acres from the 2018/2019 crop year figure.

The numbers may jolt the grains out of the trading range we've shuffled in for the past few months, or not? We are always advocates of going into crop reports as even and open minded as possible as the USDA has surprised us before.

Since the November report corn and bean spreads have been stagnant while wheat spreads have strengthened. It seems as though nearby Corn/Wheat at $1.40 is in its happy place as ventures above $1.50 and below $1.30 found no carry through. It's almost time when weather gets more and more important as whet breaks dormancy and producers prepare for lots of corn plantings which are anticipated this year...

March deliveries are a few weeks away and we might anticipate more of the same for all grains in terms of spread direction.

The information contained on this site is the opinion of the writer and obtained from sources cited within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in current market prices.

Join My Mailing List

Steve Bruce

Walsh Trading
312 985 0156
888 391 7894 toll free
312 256 0109 fax

Walsh Trading
53 W Jackson Suite 750
Chicago, Il 60604

Walsh Trading, Inc. is registered as a Guaranteed Introducing Broker with the Commodity Futures Trading Commission and an NFA Member.
Futures and options trading involves substantial risk and is not suitable for all investors. Therefore, individuals should carefully consider their financial condition in deciding whether to trade. Option traders should be aware that the exercise of a long option will result in a futures position. The valuation of futures and options may fluctuate, and as a result, clients may lose more than their original investment. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
All information, communications, publications, and reports, including this specific material, used and distributed by Walsh Trading, Inc. (WTI) shall be construed as a solicitation for entering into a derivatives transaction. WTI does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71.