corn futures brokers

corn futures brokers

September 17th, 2014

Corn futures fell for the first time this week in Chicago as farmers in the U.S., the world’s top grower, begin harvesting what’s expected to be the largest crop on record. Wheat also dropped.

Four percent of corn in the main U.S. growing area was harvested as of Sept. 14, in line with last year’s pace, the U.S. Department of Agriculture said two days ago. Farmers may collect 14.395 billion bushels this season, the most ever, the agency said last week. Futures have tumbled 19 percent this year. Frost in parts of the Midwest last weekend probably didn’t cause significant damage, and the region should experience a warming trend this week, forecaster DTN said today.

“The weather remains nearly perfect,” economist Dennis Gartman wrote in his daily Gartman Letter. “The harvest that is beginning in the South can and will be sped along.”

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October 2nd, 2012

Corn futures – Corn and soybean production in the U.S., the world’s largest grower and exporter last year, will exceed a government forecast, according to estimates by INTL FCStone Inc. (INTL)

Corn output will be 10.824 billion bushels, up from 10.727 billion forecast last month by the U.S. Department of Agriculture, FCStone said today in an e-mail report from its West Des Moines, Iowa, office. A month ago, the commodity researcher and brokerage company said production would fall to 10.607 billion, compared with 12.358 billion a year ago.

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September 28th, 2012

Corn futures prices surged the most in three months after the U.S. reported an unexpected plunge in domestic inventories to an eight-year low, signaling stronger demand for the grain.

Stockpiles left from last year’s harvest in the U.S., the world’s biggest grower and exporter, totaled 988 million bushels on Sept. 1, down 12 percent from 1.128 billion a year earlier, the U.S. Department of Agriculture said today in a report. Analysts in a Bloomberg survey expected 1.145 billion, on average. Wheat inventories fell to a four-year low, and sorghum reserves were the smallest since 1996, the agency said.

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September 27th, 2012

Corn Futures – Corn supplies in the U.S., the world’s biggest grower and exporter, are dropping below last year’s domestic usage for just the third time in half a century after a Midwest drought damaged crops from Ohio to Nebraska.

Production this year plus inventories before the harvest will reach 11.872 billion bushels, less than the 12.33 billion consumed or exported last year, according to U.S. Department of Agriculture data and a Bloomberg survey of 29 analysts. Only twice since 1960 has supply failed to exceed usage from the previous year, and the last time was in 1996. The USDA will update its inventory tally tomorrow at 8:30 a.m. in Washington.

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September 25th, 2012

Corn Futures – Corn spreads in Chicago have collapsed from a peak in July, and buying grain for December delivery is now cheaper than for March delivery as an early U.S. harvest and record Brazil exports are boosting immediate supply.

Corn futures for December delivery has slipped 6.8 percent in the past month to $7.4675 a bushel, while the March contract dropped 6.4 percent to $7.5025 a bushel in the same period, making corn for the closer date 3.75 cents cheaper. Buyers on July 20 had to pay 14.5 cents more for corn delivered in December.

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September 12th, 2012

Corn Futures – Corn output in the U.S., the world’s largest grower, will fall by less than analysts expected after the worst drought in more than 50 years, the government said. Prices fell to a seven-week low.

Farmers will collect 10.727 billion bushels, the smallest crop in six years and down 13 percent from 12.358 billion in 2011, the U.S. Department of Agriculture said today in its second survey-based estimate for the crop. Last month, the USDA forecast 10.779 billion. The average prediction of 35 analysts surveyed by Bloomberg was for 10.420 billion. Supplies of the grain on Aug. 31, 2013, will be greater than analyst estimates.

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November 30th, 2011

Corn futures fell in Chicago, extending a monthly decline, as Morgan Stanley forecast pressure on prices next year from higher South American exports of the grain.

U.S. corn shipments, the world’s largest, may slump 21 percent in the 2011-12 season to 1.45 billion bushels, the least since 1985-86, according to Morgan Stanley. That’s smaller than a Nov. 9 forecast of 1.6 billion bushels by the U.S. Department of Agriculture.

“Corn prices will likely come under pressure in the second half of the year as rebounding production in South America, and ultimately the U.S., increases supply,” analysts led by Hussein Allidina wrote in the report e-mailed today, referring to 2012.

Corn futures for March-delivery dropped 1 percent to $5.995 a bushel on the Chicago Board of Trade by 12:58 p.m. Paris time. Prices are down 7.3 percent this month.

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November 22nd, 2011

Corn futures gained, erasing earlier losses, on speculation that declining prices will increase demand for raw materials used to make food and biofuels. Wheat and soybeans also rose.

Corn has dropped 3.6 percent this year, soybeans are down 18 percent and wheat has plunged 23 percent. China’s soybean imports may rise to 60 million metric tons this year, more than the 56.5 million forecast by the U.S. Department of Agriculture, said Abah Ofon, an analyst at Standard Chartered Bank, in a report.

“Overall we still expect markets to trend higher in Q1-2012, although at a less aggressive pace than we saw at the start of the year, as they remain pinned down by uncertainty,” Ofon said. “We also believe investor demand will return, but this will depend very much on sentiment, which in turn hinges on developments in the euro area.”

Corn futures for delivery in March gained 0.2 percent to $6.065 a bushel by 10:45 a.m. London time on the Chicago Board of Trade. Futures have declined 6.2 percent this month, partly on concern that the European debt crisis won’t be solved, cutting demand for commodities.

Soybeans futures for delivery in January gained 0.3 percent to $11.52 a bushel. The most-active contract has declined 5.3 percent in November.

Wheat futures for March delivery rose 0.5 percent to $6.12 a bushel in Chicago. Milling wheat for January delivery traded on NYSE Liffe in Paris gained 0.4 percent to 180.75 euros ($244.61) a ton.

- Tony C. Dreibus in London at Bloomberg.

November 16th, 2011

Japan, the world’s largest corn importer, made its biggest purchase of European grain in at least a decade, seeking a cheaper alternative to U.S. supply.

The country bought about 800,000 metric tons from Ukraine after it removed a tax on exports last month. The purchase, made by five Japanese trading companies, was for shipments in November to March at prices that were about $20 a ton cheaper than U.S. corn, Nobuyuki Chino, president of Continental Rice Corp. in Tokyo, said in an interview today.

Japan, which sourced almost 90 percent of its corn last year from the U.S., the biggest exporter, is seeking different options after a drought hurt the U.S. crop, driving annual prices to an all-time high and curbing global food supplies.

“Japan joined other Asian buyers in finding cheaper alternatives to U.S. corn in feed as the American supply became too expensive,” Takaki Shigemoto, a commodity analyst at research company JSC Corp. in Tokyo, said today by phone. “A shift in demand will drag Chicago futures toward $6.”

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November 14, 2011

While both corn and soybeans appear to generate positive returns for 2012, corn offers growers $150/acre more given current prices.

“With the prevented planting we saw last spring in the Dakotas and the eastern Corn Belt, we could see another sizeable shift of land into corn production,” says Chad Hart, ag economist at Iowa State University. Futures indicate 2012/13 season-average prices in the $6 range for corn and the $12 range for soybeans. Futures markets aren’t quite as bullish as USDA’s crop price projection, he notes.

“With sustained high prices for both crops, the acreage competition should be interesting again,” Hart says in the November issue of Iowa Farm Outlook. “Corn looks to have the upper hand in the competition.” He notes, though, that crop input costs are headed up again, repeating the scenario of 2008 and 2009.

Hart continues that USDA expects a sizeable cutback, with corn export demand estimated at 1.6 billion bushels, down significantly from last year. Weakness in the U.S. dollar supports the export outlook, but the feed competition and increases in worldwide corn production offsets that effect, he says.

On the bullish side, biofuel development continues to support corn and soybean markets. Corn demand for ethanol topped the 5 billion bushel mark for the 2010 crop, and that figure is likely as well for both the 2011 and 2012 crops, Hart says. “Biodiesel demand for soybean oil will be a key variable to watch in 2012.” The latest monthly figures (from July) from the U.S. Department of Energy show record biodiesel production in the U.S. USDA expects another surge in biodiesel production in 2012 as the industry ramps up to meet the biodiesel portion of the Renewable Fuels Standard. While oil prices have had their ups and downs this year, overall, the energy price pattern continues to support biofuel production and crop prices, Hart says.

With higher demands and tighter-than-normal stocks, prices have been pulled to projected record levels, he notes. “Based on mid-points of USDA’s season-average price range, the 2011/12 crop year looks to be the most profitable in quite some time, if not ever.”

- Ed Clark, Top Producer Business and Issues Editor