Wednesday December 11, 2024

• Markets are starting the day in the green.
  • Corn futures rallied Tuesday following a favorable USDA report.
  • The USDA continues to paint a burdensome soybean situation.
  • Wheat is attempting to build on yesterday’s gains.
• The USDA increased corn demand by 200 million bushels, tightening what was previously a comfortable carryout. A report like yesterday’s would typically send futures soaring, but the market was slow to react. Before the report, corn had already rallied over 14 cents in three trading sessions, adding another five cents after the report. The market’s slow reaction may indicate that the report had already been priced in.
• China is prepared to implement any necessary stimulus measures to counter the effects of US trade tariffs.
• According to leaders of Guggenheim Partners Investment Management and Franklin Templeton, Trump’s tariffs may not be as impactful as initially thought. The tariffs are viewed more as a negotiating tactic.
• Ontario winter wheat acres are up from a year ago, at a 17.3% increase over the acres planted in the fall of 2023.
• Importers in Spain are purchasing US corn at a pace not seen in six years. This increase is due to high South American prices and crop quality concerns in Ukraine.