03.02.2020 (Successful Farming) - DES MOINES, Iowa -- On Monday, the CME Group’s farm markets end mostly higher.
At the close, the March corn futures finished 2 1/2¢ lower at $3.78 3/4. May corn futures settled 2¢ lower at $3.84 3/4.
March soybean futures ended 4 1/4¢ higher at $8.77. May soybean futures settled 4¢ higher at $8.90 3/4.
March wheat futures finished 1 3/4¢ higher at $5.55 1/2.
March soymeal futures closed $1.20 per short ton lower at $289.80. March soy oil futures settled $0.35 cents higher at 30.29¢ per pound.
In the outside markets, the NYMEX crude oil market is $1.43 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 188 points higher.
Jack Scoville, PRICE Futures Group, says that the funds are the main traders today and are buying soybeans while selling corn.
“We are still worried about the coronavirus outbreak in China, but the Chinese have said that they expect to be big buyers in world meat markets because of the virus and because they needed the meat anyway. They should be very active in U.S. pork markets and probably in the beef as well, although they might take chicken instead of some of either the pork or beef, due to price. Corn charts show next support near $2.75, basis March futures. So, we might get that low before all is said and done. Beans got targets of $8.61, basis March futures, but have already hit a bunch of them on the way down and might have done enough for now,” Scoville says.
Al Kluis, Kluis Advisors, says investors continue to eye the end of the coronavirus outbreak.
“On Friday, the coronavirus scare tanked the energy and global stock markets. Corn closed 2¢ higher, soybean futures closed 4¢ lower, and wheat futures were 3¢ to 6¢ lower. The coronavirus scare has taken the Chinese stock market (which was closed last week) down over 7% so far today,” Kluis stated in a daily note to customers.
Kluis added, “Will stability in the U.S. energy and stock markets help carve out a low in the grain markets?”
On Monday, private exporters reported to the USDA export sales of 130,000 metric tons of soybeans for delivery to Egypt during the 2019/2020 marketing year.
The marketing year for soybeans began September 1.