corn futures options

corn futures options

July 16th, 2014

Corn and wheat futures rose in Chicago amid speculation of buying interest from animal-feed makers and investors after grain prices fell to four-year lows this week.

Corn futures have slumped 25 percent in the past 12 months while wheat fell 19 percent amid expectations for bumper crops to boost supply. World grain stocks will rise to a 15-year high by the end of the 2014-15 season as production of both crops outpaces demand, the International Grains Council forecasts.

“We’ve come to a level where it’s starting to be interesting for buyers,” Arnaud Saulais, a broker at Starsupply Commodity Brokers in Nyon, Switzerland, said by phone. “There’s a bit of buyer interest at this moment. It’s always hard to say whether it will resist harvest pressure.”

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corn options

corn options

June 26th, 2014

Iowa farmer Julius Schaaf isn’t waiting for his corn to grow kernels before he sells this year. As last season’s record harvest spurs bulging inventories, he’s playing it safe, even as most growers hold onto their grain.

“We had perfect planting conditions, and everything is in place to produce a big crop,” said Schaaf, 61, who has already sold 70 percent of the grain he plans to produce on 3,800 acres of corn and soybeans near Randolph, Iowa. That compares with the 25 percent he would normally have sold by this time of year. “I feel pretty good with my hedge positions, because it is evident that prices will take a downturn. With above-average yields, it will be close to break-even.”

A bumper harvest in 2013 means stockpiles in the U.S., the world’s biggest grower, are rising at the fastest pace in nine years, according to traders and analysts surveyed by Bloomberg. Ample rains and warm weather boosted early crop development for this season and allowed farmers to plant more than the government estimated in March, a separate survey showed. Prices will fall about 9.5 percent in six months, Goldman Sachs Group Inc. forecasts.

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corn futures options

corn futures

June 3rd, 2014

Corn futures declined for a fourth day as farmers in the U.S., the world’s biggest exporter, boosted planting and crop conditions improved. Wheat advanced, snapping the longest slump in 15 years.

Corn futures for July delivery lost as much as 0.7 percent to $4.6225 a bushel on the Chicago Board of Trade and was at $4.64 at 2:21 p.m. in Singapore. Prices fell to $4.6025 yesterday, the lowest for a most-active contract since Feb. 28.

U.S. farmers had planted 95 percent of the corn crop as of June 1, up from 88 percent a week earlier, the U.S. Department of Agriculture said yesterday. Abundant rain in the central and southwest Midwest will improve moisture and maintain favorable conditions for corn and soybeans, MDA Information Systems LLC said. Domestic corn output is set to reach an all-time high of 353.97 million metric tons, the USDA predicts.

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corn futures brokers

corn futures trading

May 27th, 2014

Corn futures dropped to the lowest level since March on speculation U.S. farmers accelerated planting last week while rain in the next few days improves prospects for developing crops. Wheat declined to an 11-week low.

About 73 percent of corn in the main U.S. growing areas was planted as of May 18, near the five-year average pace of 76 percent and accelerating after cold weather delayed sowing earlier this year, U.S. Department of Agriculture data show. The USDA is set to update its weekly crop progress report later today. About 30 percent of the U.S. Corn Belt will see favorable rains early this week, QT Weather said in a report.

“Planting might have been late two and three weeks ago, but it is almost certainly back to the five-year average now, and we’d not be surprised to see both corn and soybean planting ahead of schedule,” economist Dennis Gartman said in his daily Gartman Letter. “Over the next few days we shall begin considering just how far down prices can fall.”

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corn futures options

May 2nd, 2014

Corn futures fell, capping the largest weekly drop in six months, on speculation that favorable weather will boost planting in the U.S., the world’s top producer. Hard-red wheat rose to a 14-month high, and soybeans gained.

The seeding pace in the Midwest will accelerate through the end of next week as higher temperatures and drier weather in portions of the Corn Belt aid growers, Commodity Weather Group in Bethesda, Maryland, said today in a report. Yesterday, futures dropped the most in four weeks.

“I’d be surprised if the planters aren’t going now,” Larry Glenn, an analyst with Frontier Ag in Quinter, Kansas, said in a telephone interview. “They should be very active through the weekend. The skies are clear.”

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corn futures

corn futures brokers

April 28th, 2014

Corn futures advanced for a third day, poised for the longest run of monthly gains since 2010, after the U.S. Department of Agriculture said planting in the world’s largest producer and exporter trailed a five-year average.

The contract for July delivery climbed as much as 0.7 percent to $5.1725 a bushel on the Chicago Board of Trade and was at $5.1675 by 11:45 a.m. in Singapore. Prices are set to advance a fourth month, the longest rally since October 2010.

About 19 percent of the corn crop was planted as of April 27, the USDA said yesterday. While that compares with 6 percent a week earlier, it is behind the 28 percent completed on average in the prior five years, it said. Slow planting progress has seen the large risk premium that built through March remain in the market, Macquarie Group Ltd. said in a report yesterday.

“We’re still lagging the 5-year average,” Luke Mathews, a commodity strategist at Commonwealth Bank of Australia, said by phone from Sydney today. While “U.S. corn farmers can plant at a very rapid rate when conditions improve, there might be some underlying support being provided by the slow pace that we’ve observed to date.”

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March 12th, 2014

Corn Futures – The return of rain to corn-growing areas of Brazil, the world’s second-largest exporter, is threating to cut output after dryness earlier this year delayed planting of the country’s second annual crop.

While dryness in most producing areas in the month to Feb. 15 delayed sowings, the return of rain compounded the lack of sunshine to slow crop development, according to Marco Antonio dos Santos, an agronomist at Sao Paulo-based weather forecaster Somar Meteorologia. Too much rain in Mato Grosso, the biggest producing state, meant growers couldn’t harvest their soybeans in time, which postponed replanting of fields with corn.

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November 8th, 2013

Corn futures fell, extending a slump to a 38-month low, on speculation that the government will forecast a bigger crop than estimated two months ago in the U.S., the world’s top leading producer. Soybeans gained.

The 2013 corn harvest may climb to a record 14.029 billion bushels, up 1.3 percent from the U.S. Department of Agriculture’s prediction in September and 30 percent more than 2012, a Bloomberg survey showed. The agency will update its forecasts at noon in Washington. Through yesterday, corn plunged 40 percent this year as crops recovered from drought last year.

“Corn prices will likely continue their gradual drift lower,” Chris Gadd, an analyst at Macquarie Group Ltd. in London, said in a report. “We expect the USDA to increase corn and soybean yields, raising corn production to record levels.”

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November 4th, 2013

Corn futures dropped for a fifth day, matching a three-year low it reached yesterday, as harvesting progressed in the U.S. amid speculation the government will increase its production estimate this week. Wheat fell.

Corn for December delivery lost as much as 0.2 percent to $4.2525 a bushel on the Chicago Board of Trade, matching yesterday’s intraday low that was the lowest price for a most-active contract since Aug. 26, 2010. Futures traded at $4.255 by 11:18 a.m. Singapore time, slumping 39 percent this year.

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corn futures brokers

corn futures climb

May 29th, 2013

Corn futures rose in Chicago as rains further delayed sowing in some U.S. states. Wheat slipped on prospects for improved crop conditions.

Parts of Iowa, Illinois, Missouri and South Dakota had as much as 6 inches (15 centimeters) of rain during the past three days, causing flooding and delaying planting, Commodity Weather Group LLC said yesterday. The U.S. is the world’s largest producer of the grain.

“Weather conditions are still penalizing for soybeans and corn,” Paris-based farm adviser Agritel wrote in a comment today. “On the flip side, the rains are beneficial for wheat crops, which explains the price drop for this product, even more so as planting conditions in Australia look favorable.”

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