Wednesday February 26, 2020

• Markets are mixed again this morning with any positive news being counteracted by continued COVID-19 concerns
  • The current outbreak in Iran could be particularly difficult to control with the economic sanctions put on them by the U.S. limiting available funds to combat the virus spreading
• A separate blockade of CN rail tracks has been set up near Hamilton in response to yesterday’s arrests with some more protests in B.C. and Quebec
• A near 900 point loss on the DOW yesterday after a long time show of strength shows the effect of Coronavirus on traders and creating a “risk-off” environment
  • the Thomsen Reuters CRB index (a measure of commodities strength) is at its lowest level since 2017
  • Crude oil dropped below the $50 per barrel
• Argentina continues to be dry but any yield issues this may create will be quickly offset by Brazilian production
• February 27th is first notice day for March contracts meaning we will shortly be rolling into May contracts and could see a short term price change due to this
• An MP from Peterborough area has introduced a bill to waive the carbon tax on fuel used to dry grain and heat farms (C-206). With the current minority government we will need to see multiple party support for this to go through
• Current expectation for corn planting is to be the 2nd highest on record with bean acres tied for 3rd